The Bank of Korea raised its forecast for South Korea’s economic growth rate in 2026 to 3.3%, with growth expected to outperform on expanding AI investment and robust semiconductor demand. Growth in 2025 is expected to exceed 1.1%, while growth in 2027 is forecast at 2.9%.
The Bank of Korea raised its forecast for South Korea’s economic growth rate in 2026 from 2.6% to 3.3%, an upward revision of 0.7 percentage points from its May 2026 forecast.
Growth in 2025 is expected to exceed 1.1%, marking the first time in five years that growth has exceeded 3%, since the 4.7% recorded in 2021. Growth in 2027 was forecast at 2.9%.
The global expansion of AI investment is expected to sustain the semiconductor boom, supporting the semiconductor industry, a key pillar of exports.