OECD: South Korean Economy to Accelerate in 2026 on Consumption, Chip Exports
South Korea's economy is expected to accelerate to 2.6% in 2026 from 1% in 2025, supported by consumption, fiscal stimulus, and strong chip exports, the Organisation for Economic Co-operation and Development (OECD) said in a Thursday release. Inflation is projected to rise to 2.6% in 2026 from 2.1% in 2025, due to higher energy prices before easing to 2.2% in 2027. Strong chip exports supported South Korea's growth despite Middle East-related setbacks, while fiscal and monetary stimulus boosted consumption. The OECD said strengthening the fiscal framework, including further pension reform and rules-based expenditure, will help ensure long-term sustainability.
South Korea's economy is expected to accelerate to 2.6% in 2026 from 1% in 2025, supported by consumption, fiscal stimulus, and strong chip exports, the Organisation for Economic Co-operation and Development (OECD) said in a Thursday release.
Inflation is projected to rise to 2.6% in 2026 from 2.1% in 2025, due to higher energy prices before easing to 2.2% in 2027.
Strong chip exports supported South Korea's growth despite Middle East-related setbacks, while fiscal and monetary stimulus boosted consumption.
The OECD said strengthening the fiscal framework, including further pension reform and rules-based expenditure, will help ensure long-term sustainability.