Bank of Korea
May 13, 2016
The South Korean central bank base rate has been left at 1.5%, the level since a 25-basis point cut in June 2015 culminated a percentage point of easing over nine months. A released statement from the policy board again projected modest domestic demand-led growth with a high level of externally-related uncertainty. Scope for cutting rates is very limited in light of upwardly-drifting core inflation, a 1.0% rate of actual inflation, recent won depreciation including today, and a desire to preserve stable domestic financial markets.
Copyright 2016, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Korean monetary policy
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