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The Export-Import Bank of Korea (Eximbank) expects a 12 percent on-year increase in South Korea's first-quarter exports due to strong demand for its chips and automobiles.
For the first quarter, Eximbank estimates outbound shipments to reach around US$145 billion.
In January, the country's exports reached 11.4 percent on-year to extend on-year gains for a third straight month.
An official from the bank partly attributed the figures to the economic recovery of major export destinations, such as the US, the EU, and China.
The US and China account for around 40 percent of South Korea's outbound shipments.
However, Eximbank warned that the looming COVID-19 variants, which are more contagious, along with delayed vaccine supplies could affect its forecast.
South Korea's exports plunged 5.4 percent in 2020 from the previous year.
