Korean rate cut follows global trend but takes analysts by surprise
South Korea has become the latest major economy to cut its benchmark interest rate, taking some observers by surprise with a base rate move from 2.75% to 2.5%, following a spate of monetary easing in Australia, India and Europe – in addition to Japan's ‘qualitative and quantitative' easing strategy.
In a statement, the Bank of Korea's Monetary Policy Committee (MPC) said economic growth in the country "remains weak", with a rise in unemployment and a further fall in inflation from 1.3% per annum
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe
You are currently unable to print this content. Please contact info@centralbanking.com to find out more.
You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
More on Monetary Policy
Riksbank to investigate year-end distortion in money market rate
Swestr tends to decline in the last business day of the year
Banknotes: April to June 2023
A round-up of news and salient issues that have affected central bankers in the past three months
Bank of Mexico to maintain tight policy, minutes say
Board says it will have to keep rates at 11.25% “for an extended period”
Lagarde warns against excessive tightening
Eurozone inflation declined sharply in May from 7% to 6.1% and core inflation declined to 5.3%
Nigerian parliament lifts central bank financing limit
Central bank has lent government tens of billions as fiscal problems mount
Hank model reveals monetary non-neutrality
Inequality and zero lower bound suggest monetary policy can impact long-term real rates
Carbon pricing would have ‘limited impact’ on eurozone inflation, says paper
Inflation would rise less than 0.2% per year until 2025 and then decline, researchers say
ECB needs ‘persistence’ in tight policy, French governor says
Transmission is slow but rate should reach terminal level in summer, says Villeroy de Galhau