Bank of Korea
August 31, 2017
The Bank of Korea Base Rate was left unchanged at 1.25%, its level since a 25-basis point cut in June 2016, and that had been the first change in a year’s time. South Korean monetary policy is accommodative, and the next rate change most likely will be an increase than another cut. Inflation has climbed by is only around 2% and so not above target, or even at mid-range. Fiscal policy was recently made more stimulative, but government measures to counter excessive housing market activity were also enacted. All this and external uncertainties continue to be monitored closely by South Korean monetary authorities.
Copyright 2017, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Korea
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