The economy has to deal with challenges posed by the changes in the country’s growth paradigm from a development-focused one to a more inclusive one. Although the administration’s inclusive growth policies, which put their first priority on the wellbeing of Korean citizens, have begun to produce outcomes as household income has increased and the basic cost of living has decreased, problems have also been posed by weakening job markets and shrinking private sector investment.
For the 2019 outlook, there are concerns that the country’s major trade partners, such as the US, China and Japan, may see their growth slowing down, leading to a slowdown in the country’s exports. External risks will continue, such as global trade conflicts, monetary policy normalization in major economies and financial market volatility in emerging economies, as well as domestic risks such as large household debt, declining labor force and ageing population. Against this backdrop the government has made the country’s economic outlook for 2019 and drawn up the 2019 economic policies.
* For further details, please refer to the attached file.
The Economic Bulletin is a monthly English publication that covers the current status and future outlook of the Korean economy, as well as key economic policies and indicators. By sharing such information with foreign residents in Korea and international opinion leaders, the Economic Bulletin aims to generate a greater international level of understanding on the Korean economy.