South Korea revises Q1 growth downward

SEOUL: South Korea's economy grew at a slightly slower pace than previously estimated in the first quarter after domestic demand and investment proved weaker than predicted, the central bank said Wednesday.

Gross domestic product grew a revised 1.3 percent in January-March from three months earlier, down from an earlier estimate of a 1.4 percent expansion, the Bank of Korea said.

Year-on-year, Asia's fourth-largest economy grew at the same 4.2 percent pace as earlier forecast.

The bank said exports led by semiconductors and automobiles remained strong in the first quarter but consumer spending and facility investment performed worse than previously estimated.

The slowdown could help persuade the bank to freeze the key interest rate at 3.0 percent when policymakers meet on Friday.

The central bank has maintained its growth forecast for this year at 4.5 percent.

Copyright AFP (Agence France-Presse), 2011