South Korea keeps interest rates steady
Bank of Korea kept its benchmark policy rate at 3.5 percent.
The Central Bank of South Korea (BOK) kept the benchmark policy rate at 3.5 percent, in line with economists’ expectations.
This was the 11th consecutive meeting in which the Bank of Korea kept interest rates steady. BOK said that it expects the economy to grow 2.5 percent this year, above its previous estimate of 2.1 percent.
BOK expects consumer price inflation this year to be 2.6 percent, the same levels it predicted in February, and core price inflation to be 2.2 percent.
The central bank is expected to cut interest rates by 50 basis points in the fourth quarter, according to a survey of economists.