South Korea: BoK kept the policy rate unchanged in February – UOB By pabspiovano SouthKorea Banks CentralBanks InterestRate
“In line with market consensus, the Bank of Korea kept its benchmark base rate unchanged at 1.25% at its Feb meeting.”
“After three rate hikes, we think the BOK can afford to wait and see how other global central banks respond to the Russia-Ukraine crisis and the impact on already high energy prices while also assessing the risks from record high COVID-19 infections at home. Nevertheless, based on expectation of a higher inflation trajectory this year, we maintain ourfor another 50 bps interest rate hike, likely with 25 bps each in 2Q and 3Q to bring the base rate to 1.75% by end-2022.
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