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Yahoo! My Yahoo! Mail Yahoo! Search Search: Sign InNew User? Sign Up News Home - Help Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Secondary Navigation Singapore Asia Pacific World Search Search: IMF revises up growth outlook for SKorea AFP - Wednesday, July 8 SEOUL (AFP) - - The International Monetary Fund Tuesday revised up its forecast for South Korea's economic growth this year, saying the government's rapid stimulus efforts limited the impact of the global downturn. ADVERTISEMENT The IMF forecast that South Korea's economy would contract by 3.0 percent this year, an improvement on its earlier 4.0 percent projection. It also expects 2.5 percent growth in 2010, up from an earlier forecast of 1.5 percent. A set of quickly deployed stimulus measures helped South Korea's economy post 0.1 percent growth quarter-on-quarter in January-March, narrowly avoiding recession. The government in March unveiled a 28.9-trillion-won (21.3-billion-dollar) extra budget, complementing additional spending announced earlier. It now expects a contraction of 1.5 percent for this year. "The authorities' rapid and comprehensive fiscal, monetary and financial policy response helped limit the depth of the downturn," the IMF said in a statement. The new outlook came after an IMF team completed its two-week annual meeting with policymakers here. The IMF urged South Korea to step up corporate restructuring while maintaining its current fiscal policy "until a self-sustained recovery is clearly established." "Fiscal stimulus has been effective and may need to be maintained in 2010 given the prospects for only a moderate recovery next year," it said. "The likely moderate pace of global growth is expected to limit the strength of exports going forward, while weak labour market conditions suggest private domestic demand is also likely to recover only sluggishly." The IMF, however, cautioned that the outlook is subject to "substantial uncertainty," citing downside risks that could weigh on South Korea's economy including oil price hikes. Email Story IM Story Printable View Blog This Sign in to recommend this article » 0 users recommend Related Articles: China's Economy Taiwan's Formosa Plastic plans key land saleAFP - 2 hours 54 minutes ago Japanese machinery orders hit record lowAFP - Wednesday, July 8 Sinopharm eyes $1.03 bln HK IPO in October -reportReuters - Wednesday, July 8 FACTBOX-Comments by S.Korea officials on economy, policyReuters - Wednesday, July 8 Related Articles: Business Author Dan Brown moves to Washington for new thrillerReuters - 2 hours 50 minutes ago Taiwan's Formosa Plastic plans key land saleAFP - 2 hours 54 minutes ago China Merchants plans H2 $3 bln rights offer -sourcesReuters - Wednesday, July 8 India Hot Stocks:Bharati Ship falls after revising offerReuters - Wednesday, July 8 India steel consumption to rise 6-8pct in FY10-minReuters - Wednesday, July 8 Enlarge Photo IMF revises up growth outlook for SKorea Related Photos Slideshow Full Photo Coverage: Business & Economy Related Full Coverage China Economy china economy All Full Coverage Most Popular – Business Viewed Jackson mother relieved of estate on funeral eve World's oldest surviving Bible published online Miniskirts, cleavage upset male SKoreans: survey The daily grind: Sex for a week boosts sperm quality Schwarzenegger declares emergency in California View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Copyright © 2009 Yahoo! Southeast Asia Pte Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Privacy Policy - Terms of Service - Community - Intellectual Property Rights Policy - Help

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