The International Monetary Fund(IMF) slightly upgraded its growth outlook for South Korea for this year.
In its World Economic Outlook report on Tuesday, the IMF said that South Korea's economy will shrink one-point-nine percent this year, up from its previous projection of a two-point-one percent contraction in June.
The revised projection is based on the assessment that demand for exports is reviving despite the COVID-19 pandemic as well as the Seoul government’s active policy response to the outbreak through this year's fourth supplementary budget.
The IMF, however, lowered its growth outlook for South Korea for next year by point-one percentage point to two-point-nine percent.
For the world economy, the IMF upgraded its outlook for this year to a contraction of four-point-four percent, up point-eight percentage points from its previous prediction in June. The world economy is forecast to grow five-point-two percent next year.