South Korea’s Q1 Economy Expands 1.8% as GDP Beats Initial Estimate

South Korea’s economy grew at a stronger pace in the first quarter of 2026 than previously estimated, according to revised data released by the Bank of Korea on Tuesday.

The updated figures indicate that economic activity remained resilient during the January-March period, providing a positive signal for Asia’s fourth-largest economy.

GDP Growth Revised Higher

South Korea’s gross domestic product (GDP) expanded by 1.8% in the first quarter compared with the previous three months.

The latest reading was slightly higher than the preliminary estimate of 1.7% released in April, reflecting stronger economic performance than initially reported.

The upward revision suggests that domestic demand and external economic conditions were more supportive than previously expected during the opening months of the year.

Annual Growth Also Improved

On a year-over-year basis, South Korea’s economy grew by 3.8% in the first quarter.

The revised figure was higher than the advance estimate of 3.6%, further highlighting the country’s stronger-than-expected economic momentum.

The improvement reinforces optimism surrounding South Korea’s growth outlook as policymakers continue to monitor global economic conditions, trade activity, and inflation trends.

Outlook for the South Korean Economy

The stronger GDP figures may provide additional confidence in the resilience of South Korea’s economy despite ongoing global uncertainties.

Investors and policymakers will now focus on upcoming economic data to determine whether the positive momentum can be sustained throughout the remainder of 2026.