S. Korean gov't not planning to change 2009 growth forecast

SEOUL, Nov. 24 (Yonhap) -- The government said Monday that it does not plan to change its growth forecast for 2009 despite adverse developments in the global and domestic economy.

The Ministry of Strategy and Finance said no reassessment of growth will be made
in the near future, as any change will be reflected late this year when Seoul
announces its economic policy direction for the new year.
On Nov. 3, the economic ministry said 4 percent growth may be attained, adjusted
down from 5 percent last year.
It claimed that the growth target could be reached under favorable crude oil
prices if state spending is increased and extensive tax cuts are made. The
government is planning a 33 trillion won (US$21.83 billion) economic stimulus
package to maintain steady growth.
This figure, however, is higher than estimates by private think tanks and
state-run research institutes that have predicted GDP growth to dip to the
3-percent levels.
The Korea Development Institute said the country may move up 3.3 percent in 2009,
while the Samsung Economic Research Institute predicted 3.6 percent gains.
The difference has raised calls by experts and economy watchers to revise the
2009 numbers to take into account worldwide difficulties triggered by the U.S.
financial crisis and the general drop in consumer demand that could hurt a
trading nation like South Korea.