22-January-2026
Economy News
 
South Korea Economy Unexpectedly Contracts in Q4, but AI Boom Brightens Outlook
22-Jan-2026

South Korea's economy unexpectedly shrank in the final quarter of 2025, marking the biggest slump in three years on weaker investment and exports, but the global AI boom is set to improve the outlook and allow the central bank to retain its steady rates stance. The contraction followed a sharp expansion in the third quarter when the new administration of President Lee Jae Myung rolled out stimulus policies to boost domestic demand.

News Source:- https://money.usnews.com/investing/news/articles/2026-01-21/south-korea-q4-2025-gdp-0-3-q-q-misses-forecast