SEJONG, Sept. 16 (Yonhap) — South Korea’s economy is expected to contract more than predicted this year, due to a recent resurgence of the new coronavirus, the Organization for Economic Cooperation and Development (OECD) said Wednesday.
In its latest economic projection for South Korea, the Paris-based club of major economies predicted the Korean economy will contract 1 percent in 2020 from a year earlier.
The updated prediction marked a downgrade from its August forecast of 0.8 percent, but the highest growth estimate among 37 OECD member countries.
Compared with the OECD’s June forecast, however, it marked a upgrade of 0.2 percentage point. It is also far better than the global average of 4.5 percent contraction. The second-best performer is Turkey, whose economy is projected to shrink 2.9 percent.
Comparable figures are contraction of 5.8 percent for Japan, 5.4 percent for Germany and 3.8 percent for the United States.