S. Korean economy to recover faster than OECD nations: report

SEOUL, July 13 (Yonhap) -- South Korea's economy is expected to recover at a
relatively faster pace than other advanced nations as indicators are showing
signs of stabilization, a report showed Monday.

According to the report by the Organization for Economic Cooperation and
Development (OECD), the composite leading indicator (CLI) for South Korea rose to
99.8 in May, up 1.8 points from 97.6 a month earlier.
The CLI is an indicator that gauges how the economy will fare six months ahead by
measuring industrial output, housing and financial market conditions, and gross
domestic product. A reading below 100 means the economy will continue to shrink.
South Korea's CLI remains below par but the 1.8-point increase was the fourth
best improvement among 29 OECD countries, the report showed.
Turkey topped the list with its CLI rising by 2.6 points in May, followed by
Slovakia and Hungary with 2.4 points and 2 points, respectively, the report
showed.
The OECD predicted that the CLI index for South Korea will likely exceed the 100
point benchmark in June, indicating that its economy, Asia's fourth-largest,
could start to expand later this year.
The report comes amid growing optimism that the nation's economy might be nearing
bottom as some indicators have shown signs of rebounding in recent months.
The Seoul government recently revised up its growth outlook for this year,
forecasting that the economy will contract 1.5 percent, higher than its previous
projection of minus 2 percent growth.
kokobj@yna.co.kr
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