BoK resumes tightening cycle, more hikes to come.

Today’s decision by the Bank of Korea (BoK) to hike its policy rate by 25bp to 1.50% is unlikely to mark the end of its tightening cycle given the strength of inflationary pressures. We expect at least two more 25bp rate hikes in the coming quarters, taking the policy rate to 2.00% by end-2022.

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