Seoul, August 31 /BNA/ – A report released today, Sunday, by Bloomberg indicated that South Korea’s economy may have hit its lowest point this year, but its growth is expected to rebound to around 2% next year.

The report, according to South Korea’s Yonhap News Agency, noted that the average forecast of 41 local and international organizations for South Korea’s economic growth in 2026 reached 1.8%, which, if realized, would represent a significant recovery compared to the 0.9% growth expected this year by the Bank of Korea.

The average forecast exceeds by 0.2 percentage points the 1.6% growth rate predicted last week by the Bank of Korea, aligning with previous government expectations.

So far, 19 local and global institutions have provided their forecasts for 2027 for Asia’s fourth-largest economy, with the average reaching 2%, according to the report. This exceeds the country’s potential growth rate of 1.9% forecasted by the OECD.

The Bank of Korea had earlier predicted that the domestic economy would grow by 1.1% quarter-on-quarter from July to September, potentially ranking among the top 5 growth rates out of 37 major economies.

This positive outlook is partly attributed to strong exports driven by increased demand for semiconductors and a recovery in domestic consumption.