Major investment banks' average forecast for Korea's 2026 growth reaches 3%: data

Major global investment banks' average forecast for Korea's economic growth this year has reached 3 percent for the first time, data showed Tuesday, supported by robust semiconductor exports amid the artificial intelligence (AI) boom. Growth forecasts for Korea's real gross domestic product (GDP) in 2026 by eight major investment banks, including JP Morgan and Citi, averaged 3 percent at the end of June, up 0.2 percentage point from a month earlier, according to data compiled by the Korea Center for International Finance. It marked the first time that the average forecast had reached the 3 percent level. The average forecast stood at 2 percent at the end of last year. It rose to 2.1 percent in January, 2.4 percent in April and 2.8 percent in May. JP Morgan predicted 3.7 percent growth for the Korean economy in June, up 0.7 percentage point from 3 percent a month earlier. Citi also raised its forecast to 3.5 percent from 3 percent over the same period. Barclays and Goldman Sachs each projected 2.7 percent growth, while HSBC and UBS forecast 2.8 percent each. Bank of America projected 3.1 per