Inflation & Prices
BOK Sees Inflation Stabilizing This Month After Korea CPI Beats
- Consumer prices grow 3.7% in September, faster than expected
- Bank of Korea to meet for rate decision later this month
The Bank of Korea is keeping a close eye on inflation as it maintains its benchmark interest rate at a restrictive level of 3.5% to tamp down price pressures.
Photographer: Jean Chung/Bloomberg
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South Korea expects inflation to slow this month after consumer prices rose faster than expected in September due to higher energy and food costs, a result that reinforced the case for authorities to keep policy settings restrictive for longer.
The central bank said Thursday that inflationary pressure would slow from October after consumer prices advanced 3.7% last month from a year earlier, a quicker pace than the 3.4% recorded in August. Economists surveyed by Bloomberg had expected the rate to speed up to 3.5%.