South Korea Cuts 2015 Growth Forecast, Warns on External Risks

South Korea lowered its growth forecast and said it will revise capital controls to guard against higher U.S. interest rates and other external risks to Asia’s fourth-biggest economy.

The economy will expand 3.8 percent next year, less than a July estimate of 4 percent, the finance ministry said, citing weaker-than-expected domestic demand. The ministry may revise rules in 2015 on currency forwards and foreign currency liabilities to prevent abrupt outflows, a statement showed.