S. Korea’s c. bank holds rates steady at 3.00%

The Bank of Korea‘s (BOK) monetary policy board decided on Thursday to keep the base rate at 3.00 per cent. Inflation remains stable, but economic growth faces risks from increased exchange rate volatility and political uncertainties.

Given the uncertain economic outlook and foreign exchange market conditions, the board will monitor developments before making any changes to the base rate, according to a statement released by the BOK.

The report added that the current information indicates divergent economic activity globally, with increased uncertainties in growth and inflation due to the new US administration’s policies, Fed rate cuts, and political situations in major countries.

The global economy and financial markets will be impacted by the new US administration’s policies, monetary policies in major economies, and geopolitical risks, the statement mentioned.

Attribution: Amwal Al Ghad English