The South Korean government on July 14 raised its 2026 economic growth outlook to 3 percent, citing a semiconductor supercycle, and announced the 3-4-5 Vision targeting a 3 percent potential growth rate, top-four exporter status and US$50,000 GNI per capita.
The Ministry of Finance and Economy released its second-half economic policy plan on July 14, lifting the 2026 growth forecast to 3 percent from 2 percent. The revision exceeds projections from the IMF, OECD and ADB.
Finance Minister Koo Yun-cheol said the 3 percent potential growth target remains viable through industrial transformation beyond memory chips. President Lee Jae Myung urged Cabinet members at a Cheong Wa Dae meeting to stabilize prices and foster growth engines.
The plan includes three mega projects in chips, data centers and physical AI, plus measures to secure supply chains after the Middle East war. Exports are projected to rise 40 percent year-on-year in 2026.
