Article: Korea: South Korea sets ambitious growth target for 2009.

Byline: sander03

South Korea vowed on Tuesday to achieve economic growth of around 3 percent next year by expanding fiscal spending, but economists said the target looked far too ambitious in the face of global recession.

The Ministry of Strategy and Finance set its first official economic growth target for 2009 at around 3 percent, above the market consensus of about 2 percent, saying it would employ all policy options available to achieve it.

The central bank could lower interest rates further and the government could take steps to boost construction spending, but heavily indebted consumers and increasingly hesitant companies will probably ...

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