The government is reportedly considering lowering its growth estimate for this year to below two-point-five percent when it announces its economic policy for the second half of the year early next month.

A government official said on Sunday that the government is completing its preparations for the announcement, which will likely come on July third.

The government has been expecting the economy to grow between two-point-six percent and two-point-seven percent this year, but sources said it would cut it to two-point-four percent or in the range of two-point-four percent to two-point-five percent.

The Bank of Korea already slashed its estimate to two-point-five percent from two-point-six percent and the state-run Korea Development Institute put its estimate at two-point-four percent.