Arab Today, arab today south korea freezes policy rate
Last Updated : GMT 15:38:21
Arab Today, arab today
Arab Today, arab today

South Korea freezes policy rate

Arab Today, arab today

Arab Today, arab today South Korea freezes policy rate

Seoul - XINHUA

South Korea's central bank froze key interest rate for 11 months in a row on Thursday in line with market expectations. Bank of Korea governor Lee Ju-yeol, who convened the first monetary policy meetingsince he took office on April 1, decided to keep the seven-day repurchase rate on hold at 2.5 percent along with six other monetary policy board members unanimously. The policy rate has been anchored at the level since May 2013 when the central bank lowered borrowing costs by 25 basis points amid mixed signals from economic indicators at home and abroad. Lee was reluctant to send a clear signal on the policy direction and took a relatively neutral stance on growth and inflation. Lee said the growth outlook was revised upward to 4 percent for 2014 in line with potential growth, stressing that growth was a major consideration of BOK in managing the monetary policy. Lee said the 2014 consumer price inflation outlook was revised down to 2.1 percent from an earlier estimate of 2.3 percent. Lee said the inflation would accelerate to the mid-2 percent level in the second half of this year, but he noted the central bank's monetary policy should be in harmony with the fiscal policy of the Finance Ministry, which may want to boost the economy ahead of the June 4 local elections. The country's consumer prices rose 1.3 percent in March from a year earlier, higher than a 1 percent gain in the previous month. The consumer price inflation stayed below the BOK's mid-term inflation target band of 2.5-3.5 percent for 22 months in a row. Core consumer prices, which exclude agricultural and petroleum products, increased 2.1 percent on year in March, up from a 1.7 percent rise a month earlier. Market watchers expected the BOK to raise the benchmark interest rate as early as in the fourth quarter of this year as the U.S. Federal Reserve kept tapering its quantitative easing and hinted at rate hike in the first half of next year. Kwon Young-sun, a senior economist at Nomura in Hong Kong, said in a report that the BOK will raise interest rate by 25 basis points to 2.75 percent in December 2014 given his view that the headline inflation will surge to 3.2 percent in the fourth quarter. Meanwhile, economic conditions at home and abroad showed a mixed picture, giving no ground for the BOK to change the policy rate this month. Economic data in the United States indicated that the world's largest economy was on the mend, but fell short of market expectations. U.S. non-farm payroll growth, the closely watched data, stood at 192,000 in March, slightly below market expectations. External uncertainties remained such as economic slowdown in China and tension in Eastern Europe. On the domestic front, economic data sent mixed signals. South Korea created 649,000 jobs in March, continuing its recovery trend. But the job growth was slower than 835,000 in February and 705,000 in January. Output in the mining and manufacturing sectors fell 1.8 percent in February from a month earlier, and production in the service industry reduced 0.4 percent. Retail sales shrank 3.2 percent, and facility investment slid 0.3 percent on weak demand in the shipbuilding and auto industries. Exports, which account for about half of the economy, expanded 5.2 percent from a year earlier to 49.76 billion U.S. dollars in March, the largest except for the all-time high of 50.48 billion dollars tallied in October last year. The economy kept its overall recovery trend in January and February, but it made a slight adjustment in February due to one- off factors, the Finance Ministry said in its monthly economic report called Green Book.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today south korea freezes policy rate Arab Today, arab today south korea freezes policy rate

 



Arab Today, arab today
Arab Today, arab today Fadi explains secrets of  Nancy Ajram's newlook

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday