From CNBC · Lim Hui Jie · · 1m 10s
South Korea's central bank holds rates as inflation persists
The Bank of Korea kept its policy rate at 3% on Thursday, pausing after two consecutive hikes as inflation remains elevated and housing prices accelerate.
In brief
The Bank of Korea kept its policy rate at 3% on Thursday, pausing after two consecutive hikes as inflation remains elevated and housing prices accelerate. South Korea's central bank held rates steady at three percent, pausing its tightening cycle as inflation stays above target and housing prices accelerate despite…
Bank of Korea holds rates at three percent
South Korea's central bank kept its policy rate steady at three percent on Thursday after two consecutive hikes, pausing to assess the effects of prior increases.
Inflation stays above target for thirteen months
Inflation in Asia's fourth-largest economy came in at two point nine percent in September, staying at or above the Bank of Korea's two percent target for thirteen months.
Housing prices accelerate despite presidential push
The Bank of Korea flagged that housing-related loans continued to increase and the pace of increase in housing prices in Seoul and its surrounding areas accelerated again.
Analysts expect one more rate hike ahead
Gareth Leather, senior Asia economist at Capital Economics, forecasts one more hike at the Bank of Korea's meeting next month, saying the pause does not signal an end to tightening.
In short
South Korea's central bank held rates steady at three percent, pausing its tightening cycle as inflation stays above target and housing prices accelerate despite presidential pressure to boost supply.
