South Korea: BoK is seen keeping rates unchanged – UOB

Pablo Piovano FXStreet

Economist at UOB Group Lee Sue Ann suggests the Bank of Korea (BoK) could likely leave the policy rate unchanged at 1.00% at its meeting on Friday.

Key Takeaways

“The BoK said the benchmark rate is still below the neural level. Barring a sharp downturn in its economy, we continue to project the next 25 bps rate hike in 1Q22, likely in February.”

“If inflation becomes more broad-based, the BoK may have to raise interest rate by another 25-50 bps between late-2022 to 2023.”

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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