The Organization for Economic Cooperation and Development has slashed its growth outlook for South Korea's economy this year from 2-point-6 percent to 2-point-4 percent... citing slowdown in global trade and weakened domestic demand. <br />The OECD also warned that the world's 11th largest economy needs to raise its labor productivity.<br />Kim Hyo-sun has the details.<br />The OECD has slashed this year's growth outlook for South Korea to 2-point-4 percent. <br />That's down zero-point-two percentage points from the previous forecast made in March.<br />And zero-point-four percentage points lower than last November's forecast. <br />S. Korea's lowered growth outlook reflects declining exports due to slowing global trade: OECD<br />The OECD said in its economic outlook report released Tuesday that the lowered growth outlook reflects Seoul's declining exports amid slowing global trade and industrial restructuring for local manufacturers. <br />Meanwhile, the international organization raised the 2019 growth outlook for the U.S. and eurozone to 2-point-8 and 1-point-2 percent, respectively.<br />As for next year,... the OECD also cut South Korea's growth outlook to 2-point-5 percent,... down zero-point-one percentage points from the March forecast. <br />It stated the country's growth is slowing in part because of a decline in fixed investment and weak job creation. <br />The organization said, however, that some momentum will build in 2020 backed by the government's expansionary fiscal policies and a recovery in investment. <br />S. Korea should raise labor productivity as it's fastest aging country among OECD<br />The report pointed out that Seoul's main challenge is to raise labor productivity,... explaining the country has the fastest aging population among the OECD member-states. <br />The OECD also said it expects the South Korean government's supplementary budget plan will reinvigorate the economy. <br />
