Korea Bank maintains prices unchanged for the second meeting in a row

The Central Bank of South Korea remained a policy rate unchanged by 2.5 % in its second consecutive meeting, despite an unconfirmed commercial environment.

The move was also in line with the expectations of economists included in Reuters.

In its previous meeting, BOK had rates, indicating the need to assess the impact of modern measures aimed at cooling the housing market in Seoul.

The central bank’s decision came a few days after South Korean President Lee Jay Meong US President Donald Trump met Earlier this week, which led to a series of agreements between both sides.

These include investment pledges with millions of dollars from South Korean companies, and a flight of 50 billion dollars is recorded by Korean air, and cooperation in areas such as shipbuilding and energy.

According to a trade deal in July, Seoul will invest $ 350 billion in the United States, including $ 150 billion to build ships. After that, Seoul saw the so -called “mutual” definitions of her exports to the United States to 15 % of 25 %, including cars.

The country had witnessed the drafting of exports to increase its growth in the April to June period to a better offer than expected, as GDP extended 0.6 % over a quarter and 0.5 % over last year.

Exports of goods and services constitute about 44 % of South Korea GDP in 2023, according to The latest numbers from the World BankWith the United States, the second largest export market, after China.

A memorandum by Bank of America analysts said that with a “commercial wind wind”, BOK is expected to review the drop in GDP to about 1.0 % for a period of 2025, an increase of 0.8 % previously.

Analysts expect that BOK will be open to reduce policy rates in the next three months, with a possible price reduction in October.

They also expected another reduction in the first half of 2026 to keep the rates stable by 2 %.

However, inflation in South Korea appears to be a supportive to reduce average, up to 2.1 % in July and above BOK goal of 2 %.

– This is the breaking news, please check again for updates.