Choo Kyung-ho: "Uncertainty in Israel-Palestine War Increased, but... 2% Growth Expected in Q4"

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho said on the 29th, "If the situation (the war between Israel and the Palestinian armed group Hamas) does not escalate further, the government expects the annual average economic growth rate to be close to the forecasted 1.4%," adding, "In the fourth quarter, the growth rate is expected to exceed 2%."

Deputy Prime Minister Choo appeared on Yonhap News TV that day and said regarding the outlook for the Korean economy in the fourth quarter, "Currently, our economy is at the early stage of recovery, but the conflict between Israel and Hamas has greatly increased uncertainty."

Referring to the Israel-Palestine war, Deputy Prime Minister Choo said, "For countries like ours that lack energy resources, there are significant uncertainties in high prices, foreign exchange markets, exchange rates, and financial markets," and "we are strictly monitoring these factors to ensure that energy supply, especially prices and people’s livelihoods, do not become unstable by mobilizing various policy measures to prevent weakening the vitality of our economy."

Furthermore, Deputy Prime Minister Choo spoke about the relationship between Korea and Middle Eastern countries, saying, "The Middle East is seeking new growth engines in the post-oil era, and they consider Korea, which has technological competitiveness in digital climate change response and advanced manufacturing sectors, as an optimal partner," adding, "We too can gain significant economic benefits through the vast energy and capital of the Middle East."

Deputy Prime Minister Choo also explained that a stable energy supply foundation has been established through recent diplomatic efforts toward the Middle East, including President Yoon Suk-yeol’s state visit to Saudi Arabia. He stated, "We have achieved contract orders amounting to 100 trillion won when converted to Korean won," and that a comprehensive economic cooperation foundation based on digital technological competitiveness has also been established.