South Korea's central bank kept the benchmark interest rate unchanged on Thursday, as policymakers remain wary of further easing amid the government's drive to cool property prices.
FILE PHOTO: The logo of the Bank of Korea is seen in Seoul, South Korea, November 30, 2017. REUTERS/Kim Hong-Ji
The Bank of Korea held the base rate KROCRT=ECI steady at a record low of 0.5%, it announced in a text message, in line with the forecasts of all 30 economists polled by Reuters. The rate is at the lowest since the central bank adopted the current system in 1999, having slashed a total of 75 basis points since March this year to fight the economic fallout from the coronavirus pandemic.
Soaring apartment costs in Seoul despite more than 20 rounds of cooling measures have put policymakers in a bind. “Further cuts are unlikely, in our view, as the Korea economy experienced the worst of the shock in the second quarter, and housing prices continue to rise amid ample liquidity provided by earlier cuts,” said Park Chong-hoon, head of research at Standard Chartered Bank Korea.
South Korea is issuing a record amount of treasury bonds this year to fund extra budget outlays to cushion the economic impact of the pandemic.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
South Korea to spend $95 billion on green projects to boost economySouth Korea's government launched a plan on Tuesday to spend 114.1 trillion won ($94.6 billion) on a 'Green New Deal' to create jobs and help its economy recover from the impact of the coronavirus, President Moon Jae-in said on Tuesday.
Read more »
South Korea June unemployment rate inches down but virus risks persistSouth Korea's unemployment rate fell marginally in June, but remained high in historical terms as the coronavirus pandemic continued to weigh on businesses and labour markets.
Read more »
Opinion | Why a Trump October surprise deal with North Korea would be such a bad ideaIn Bolton's book, he suggests that the president may see a deal on North Korean denuclearization as a potent distraction from bad news in November.
Read more »
South Dakota Is Sharing Driver's License Info To Help Find Out Who's A CitizenNEW: South Dakota is sharing driver's license and state ID records with the Census Bureau to help the Trump administration figure out the U.S. citizenship status of every adult living in the country, NPR has learned.
Read more »
Leimert Park Threads Pays Homage to Black Communities, From South Central L.A. to HBCUsAshley Sky Walker launched the Beyoncé-approved unisex T-shirt line after studying at Howard University and Central Saint Martins.
Read more »
U.S. rejects China's claims in South China Sea, adding to tensionsThe United States on Monday rejected China's disputed claims to offshore resources in most of the South China Sea, a move that Beijing criticized as inciting tensions in the region and which highlighted an increasingly testy relationship.
Read more »