Recovery in Korea Unlikely by Early 2002
September 21, 2001 (SEOUL) -- A full-fledged economic recovery in Korea is likely to be made during the third or fourth quarter of 2002, a year later than the previous estimate of late this year.
Samsung Economic Research Institute said the Korean economy is expected to grow at the 2 percent level, down 2 percentage points from the previous forecast, and further expects that the recovery will be made during the fourth quarter of 2002.
Hong Soon-young, senior researcher at SERI, said a possible slowdown in United States consumption could cast a serious blow to Korea's export companies, propelling a long-term slowdown.
Other private researchers also warned of a delayed recovery due to the terrorist attacks.
Hyundai Economic Research Institute said Korean economy is expected to rebound late next year.
Although the government has announced stock market boosting measures and call rate cut and an increase in government spending, these will not be sufficient enough to turn around the economy, SERI added.
(Maeil Business Newspaper, Korea) |
