S&P projects South Korea's annual inflation to hit five-percent this year.
Its latest report cited higher energy and commodity prices as key factors.
The global ratings agency forecasts the nation's economic growth to be at 2.6 percent, point-1 percentage point up from April.
It said the Asia Pacific region's expansion is expected to be smooth with the exception of China which is struggling due to a resurgence of COVID-19.
Meanwhile, citingNomura Holdings, Bloomberg reported that Seoul will see minus 2.2 percent economic growth in the third quarter, and that South Korea, along with countries including the UK and Japan, could enter a recession at some point over the next 12 months.