Morgan Stanley: Bank of Korea expected to raise growth forecast for 2026.

Kathleen Oh of Morgan Stanley stated that the Bank of Korea is expected to raise South Korea's growth forecast for 2026 from the previous estimate of 1.8% to 2.0% at the upcoming policy meeting on February 26. The economist noted that this upward revision in expectations will reflect the upside risks brought by the stronger-than-expected semiconductor boom. She expects the central bank to maintain its inflation forecast for this year at 2.1%, citing gradual economic recovery domestically and limited demand-driven price pressures. She added that the Bank of Korea is expected to keep the policy rate unchanged this year, with three out of its seven committee members set to end their terms in the coming months.