The Bank of Korea on Thursday revised down its earlier growth forecast on the South Korean economy to 2.9 percent for 2018 due to rising economic uncertainties at home and abroad.

In the monetary policy meeting for July, the central bank slashed 0.1 percentage point from its earlier growth outlook of 3.0 percent published in April.

The adjustment came as the latest economic data including sluggish job creation and slowed exports raised concerns that the economy is losing steam and entering a downside cycle.

The monthly number of newly created job positions posted around 100,000 for the third straight month in June, marking one of the lowest figures tallied in a decade since the 2008 global financial crisis.

Exports, South Korea's key economic driver, retreated 0.1 percent on-year in June, marking the second negative monthly change in 20 months.

Intensifying trade disputes between the United States and China also weighed heavily on the South Korean economy, as the countries are South Korea's largest and second-largest trading partners.

But the BOK said the country is on the right track to meet its growth potential on the back of private consumption and exports.

"Going forward, the board expects domestic economic growth to be slightly below the path projected in April but to sustain a rate at its potential level," it said. "It anticipates that investment will slow but that the trend of steady increase in consumption will continue and that exports will also sustain their favorable movements thanks to the buoyancy of the global economy." (Yonhap)