SKorea economic growth slows to 2.7 per cent in 4Q, weakest expansion in 6 quarters

SEOUL, South Korea – South Korea’s economy grew at its slowest pace in more than a year in the fourth quarter due to reduced government spending.

The Bank of Korea said Friday that Asia’s fourth-largest economy expanded 2.7 per cent from a year earlier in the October-December quarter.

That was the slowest quarterly expansion in six quarters but growth of 3.3 per cent for the full year was the highest in three years.

The weak fourth-quarter results were expected after Bank of Korea last week downgraded the country’s 2015 outlook citing weakness at the end of 2014.