An image encoding method and an image decoding method are provided. The image decoding method includes deriving a temporal merge candidate from a co-located block of a current block, generating a merge candidate list of the current block based on the derived temporal merge candidate, and generating a prediction block of the current block based on the generated merge candidate list. The deriving a temporal merge candidate includes scaling a motion vector derived from the co-located block based on a POC difference value between the current block and a reference picture of the current block and a POC difference value between the co-located block and a reference picture of the co-located block, and modifying the scaled motion vector based on motion vector scaling information between a neighboring block of the current block and a co-located block of the neighboring block.