▣ Korea’s economic growth will likely fall short of the previously projected path for both 2024 and 2025, particularly in consumption and construction invesment, due to the weakening of economic sentiment stemming from heightened political uncertainty.
■ Future path of growth will be strongly influenced by the timing of domestic political uncertainty subsiding and the actual implementation as well as the pace of economic policies, such as supplementary budgets.
▣ CPI inflation is expected to remain stable at slightly below the target level of 2%, as upward pressures from higher exchange rates and oil prices are offset by downward factors such as low demand-side pressure and the government's price stabilization measures.
■ Uncertainty related to exchange rate and oil price movements, the timing of public utility rate hikes, and the trajectory of domestic demand has risen.