S.Korea freezes key interest rate for fourth monthSouth Korea's central bank has frozen its key interest rate at 2 percent for the fourth straight month, saying there are indications the economic downturn is moderating.
At its monthly policy meeting, the Bank of Korea The Bank of Korea is the national central bank of the Republic of Korea (South Korea). It was established on June 12, 1950 in Seoul. History
The Bank of Korea, the central bank of the Republic of Korea (South Korea) was established on June 12, 1950 under the Bank of Korea (BOK) left the benchmark seven-day repo rate repo rate
The rate of interest (annualized) on a repurchase agreement. unchanged at a record low.
The bank had made six consecutive rate cuts totalling 3.25 percentage points between October and February to bolster This article is about the pillow called a bolster. For other meanings of the word "bolster", see bolster (disambiguation).
A bolster (etymology: Middle English, derived from Old English, and before that the Germanic word bulgstraz the export-dominated economy.
"The slump in domestic demand has moderated and production activities have improved," the bank said in a statement.
"The downside risk Downside Risk
An estimation of a security's potential to suffer a decline in price if the market conditions turn bad.
You can think of this as an estimate of the amount that you could lose on a stock or other investment. to economic growth, however, is thought to persist because of a rise in international raw material prices and the slowdown in major advanced countries."
Inflation has been moderating due to easing demand stemming from a slowing economy and gains in the won against the dollar, it said.
The central bank is likely to leave the key rate unchanged for the rest of the year despite rising concerns over worldwide inflation, said Daishin Economic Research Institute economist Kim Yoon-Gi.
Kim told Dow Jones Newswires Dow Jones Newswires is the real-time financial news organization owned by Dow Jones. Founded in 1882, its primary competitors are Bloomberg L.P. and Reuters. The company reports more than 420,000 subscribers -- including brokers, traders, analysts and fund managers -- as of July that "as a rise in raw material prices will be temporary and the global economy won't recover that fast, the BOK won't touch its base rate until the year-end."
South Korea narrowly avoided falling into recession in the January-March quarter, when the economy grew 0.1 percent quarter-on-quarter following a 5.1 percent contraction contraction, in physics
contraction, in physics: see expansion.
contraction, in grammar
contraction, in writing: see abbreviation.
contraction - reduction from October to December.