The South Korean economy is expected to continue its recovery in the latter half of this year, according to the Organization for Economic Cooperation and Development (OECD). However, the country is facing significant challenges such as low productivity, a declining population, and climate change. The OECD emphasized the urgent need for Korea to address its population decline and low fertility rate by supporting people to have the number of children they desire and implementing structural reforms in the labor market and family policies. Additionally, the report called for a "decisive upgrade" in Korea's export-oriented growth model to boost declining productivity, including reforms to create a level playing field for competition and advancements in environmental measures to achieve carbon neutrality by 2050. The OECD's survey report forecasted a 2.6 percent growth outlook for the South Korean economy in 2024, driven by improved exports and strengthening domestic demand in the second half of the year. However, the report also highlighted potential risks, such as tensions between Korea's main trading partners, the US and China, and high supply chain dependencies. Despite weak private consumption in the first half of the year, the OECD anticipated a rebound in the domestic market in the latter half, with inflation projected to reach the 2 percent target later this year. Vincent Koen, the OECD's country studies division chief, emphasized the need for Korea to address these challenges and implement necessary reforms to ensure sustainable economic growth in the future.