OECD forecast Korea's potential growth outlook to hit record low 1.52% in late 2027
Published: 26 Apr. 2026, 12:57
Updated: 26 Apr. 2026, 15:40
![Containers are stacked at a port in the city of Pyeongtaek, Gyeonggi, in this file photo from April 1. [YONHAP]](https://koreaseafood.online/data/photo/2026/04/26/5082785b-cd4f-4feb-9824-18e781ae1b5a.jpg)
Containers are stacked at a port in the city of Pyeongtaek, Gyeonggi, in this file photo from April 1. [YONHAP]
Korea's potential growth rate is projected to fall to a record low in the fourth quarter of next year, continuing a decade-long downward trend, according to the Organisation for Economic Cooperation and Development (OECD).
According to the latest OECD data, the country's potential growth rate is projected to reach 1.52 percent in the October to December period of next year, a sharp decline from 1.92 percent last year and an estimated 1.71 percent this year. It is expected to fall further to 1.57 percent next year.
The potential growth rate refers to the rate of increase in the potential GDP (GDP), which represents the maximum level of output an economy can sustain by fully utilizing labor, capital and other resources without triggering inflation.
Based on the OECD's latest estimates, Korea's potential growth rate has been steadily declining since 2012, when it stood at 3.63 percent.
If the trend continues through next year, the decline will extend into its 15th consecutive year.
The data also highlights a widening gap with the United States. Since 2023, Korea has trailed the world's largest economy in potential growth. The disparity has grown from 0.03 percentage points in 2023 to a projected 0.38 percentage points next year.
Yonhap
with the Korea JoongAng Daily
To write comments, please log in to one of the accounts.
Standards Board Policy (0/250자)