Editor's PiCK
Bank of Korea holds base rate steady…keeps at 2.50% per annum
Summary
- The Bank of Korea said it has held the base rate at 2.50% per annum.
- It said the background for the hold decision was the rise in house prices in the Seoul metropolitan area and the burden of the Korea-U.S. interest rate gap.
- It said this decision marks the second consecutive rate hold following last month.
On the 28th, the Bank of Korea held the base rate at 2.50% per annum.
The Bank said it made this decision after holding a meeting on the direction of monetary policy of the Monetary Policy Committee at the Bank of Korea headquarters on Namdaemun-ro, Seoul, on the morning of the day.
This is the second consecutive hold following last month's Monetary Policy Committee decision to hold rates. It is seen as due to the fact that the previously cited reason for last month's hold — the ongoing rise in house prices in the Seoul metropolitan area — has not yet been contained, and because the U.S. central bank (Fed) has not cut rates, the burden of the Korea-U.S. interest rate gap remains.
Reporter Kang Jin-gyu josep@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
