SEOUL, Dec 21 Reuters South Korea39;s government on Wednesday promised policy support and deregulation to boost economic growth which it expects to slow next year at a much faster pace than expected previously.

The government predicted Asia39;s fourthlargest economy would see growth slowing to 1.6 in 2023 from an estimated 2.5 this year, more pessimistic than the central bank39;s forecast made in November for 1.7 growth.

Finance Minister Choo Kyungho told a news conference the lower growth forecast reflected the worsening global economic outlook.

South Korea39;s exportdriven economy is faced with cooling global demand after a wave of monetary policy tightening by major central banks and high inflation.

The government promised to lower taxes and ease regulation on the property sector to ensure a soft landing.

President Yoon Sukyeol ordered ministers to push ahead with reforms of key areas, especially labourmanagement practices in a country with a long record of fractious industrial relations.

The government also said it would provide policy and financial support to bolster exports, predicting overseas sales would fall 4.5 next year after a 6.6 gain this year.

Reporting by Choonsik Yoo; Editing by Stephen Coates

Source Reuters