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Taking A Look At South Koreas Economy: Strathclyde Associates

Taking A Look at South Koreas Economy: Strathclyde Associates - Korea is set to grow

about 5% this year, faster than the Bank of Koreas December forecast of 4.6%.

The central bank has lowered its 2010 forecast for consumer price inflation to 2.6% giving a signal to the market that the bank wont raise the benchmark interest rate in the first half of the year. However, a 25 basis-point rate hike in September and another 25 basis-point hike in December cannot be ruled out. The central bank expects inflation to accelerate to 3.3% next year as economic recovery is likely to fuel consumption.

Taking A Look at South Koreas Economy: Strathclyde Associates Korea - The current-account surplus totaled $1.69 billion in March compared with a surplus of $6.64 billion a year earlier. The size of the surplus is expected to shrink over time as imports rise with an improving economy. The countrys current account surplus will be around $17 billion this year from $42.67 billion in 2009.

Taking A Look at South Koreas Economy: Strathclyde Associates Korea - The won will continue to appreciate due to the weak dollar against emerging economies currencies, but only marginally due to a narrowing current account surplus. Moodys Investors Service upgraded South Koreas sovereign rating by one notch to the pre-Asia crisis level of A1 from A2 citing the countrys exceptional rebound from the global downturn and the governments success in curbing its debt.

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From natural resources to technology our fundamental strengths lie in innovative investment solutions combined with robust execution capabilities. At Strathclyde Associates we pride ourselves with comprehending each individual clients unique financial needs and preferences.

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by: strathclydeassociate
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Taking A Look At South Koreas Economy: Strathclyde Associates