South Korea lowers economic growth outlook

SEOUL, July 18 (UPI) -- South Korea has lowered its growth outlook amid falling employment and sluggish economic performance.

The Ministry of Strategy and Finance said the economy is expected to grow 2.9 percent this year, lower than the initial estimate of 3 percent. It further lowered the growth prospect to 2.8 percent for next year.

"The economic situation may get worse if anxiety in the global trade and finance markets spread due to the trade conflict between the U.S. and China and if the market and corporate sentiment doesn't improve," Finance Minister Kim Dong-yeon said at a press briefing on Tuesday, Yonhap reported.

Economy-related government agencies joined the press briefing on economic policy direction in the second half of the year.

Job growth is also expected to fall.

The government initially estimated that the country would see a job increase to 320,000 per month, but the job growth has stayed at around 100,000 for five months in a row until June.

The country, heavily reliant on exports, is expected to see exports increase by 5.3 percent year-on-year, and imports surge by 11 percent due to rising oil prices.