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Bank of Korea likely to raise 2026 growth forecast to 1.9 to 2.0 percent; focus on U.S. tariff assessment

The Bank of Korea is expected to raise its 2026 real GDP growth forecast to 1.9 to 2.0 percent from 1.8 percent in revised projections due on Feb. 26, analysts said. They cite a strong semiconductor cycle, improving exports, recovering domestic demand and wealth effects from higher share prices. Views differ on the impact of a U.S. Supreme Court ruling voiding reciprocal tariffs and President Donald Trump’s warning of a new 10 percent tariff. Inflation is expected to stay around 2.1 percent.