2017 growth estimate is cut by one more institute

A private think tank lowered its 2017 outlook for the Korean economy from 2.6 percent to 2.3 percent Monday, as several have done in recent weeks.

Hyundai Research Institute released a report Monday that lowered a projection made in September. The report said the domestic economy is likely to remain sluggish due to political uncertainties following the impeachment of President Park Geun-hye.

Hyundai cited weak construction investments and domestic consumption as other main reasons for the lowered projection.

Hyundai isn’t the only private think tank that predicts the economy to grow in the low 2 percent range. The Korea Economic Research Institute set its prediction at 2.1 percent and LG Economic Research Institute has projected the economy to grow at 2.2 percent, citing a shrinking workforce and lower construction investment.

The government is expected to release a new economic outlook later this week and officials have said it will be slower than the 3 percent it previously projected.

The Bank of Korea is also expected to lower its outlook of 2.8 percent next month.

BY KIM YOUNG-NAM [kim.youngnam@joongang.co.kr]