Korea's central bank bides its time

The Bank of Korea (BoK) unexpectedly held its policy rate at 2.75% today. Nonetheless, core inflation has surged and looks set to climb further while GDP growth should pick up too. The upshot is that more policy tightening is inevitable. We expect the base rate to be hiked in March.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.