What risks could derail South Korea’s recovery in 2026?

Investing.comSaturday, December 13, 2025 at 11:00:02 AM
What risks could derail South Korea’s recovery in 2026?
  • South Korea's economic recovery in 2026 faces potential risks, including rising unemployment and currency depreciation, as indicated by a recent increase in the jobless rate to 2.7% in November. This uptick reflects ongoing challenges in the labor market and broader economic conditions.
  • The rise in unemployment is significant for South Korea as it may hinder consumer spending and overall economic growth, complicating recovery efforts post-pandemic. The situation is further exacerbated by the depreciation of the won, which has frustrated retail investors.
  • The economic landscape in Asia is shifting, with countries like China targeting GDP growth amid deflationary pressures. South Korea's recovery is intertwined with regional dynamics, including technology investments and tariff adjustments, highlighting the interconnectedness of economic strategies across the region.
— via World Pulse Now AI Editorial System

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