The OECD on Tuesday raised its outlook for Korea's economic growth this year from 3.8 percent to 4 percent. It also predicted Korea would see 4.2 percent growth next year, up from 4 percent.
Korea posted 3 percent growth last year.
The upward revision is due to expectations that exports will increase on the back of the recovery of the world economy. The OECD forecast the world economy will expand 3.4 percent this year and 3.9 percent next year, as against 2.8 percent in 2013.
But it also pointed to risk factors for Korea. As exports account for over half of its GDP, Korea is vulnerable to changes in the global economy and exchanges rates.