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Bond specialists expect no change in Korea's base rate
By Korea HeraldPublished : July 12, 2016 - 14:15
[THE INVESTOR] South Korean bond market experts expect the Bank of Korea to keep the benchmark rate unchanged this month, a survey showed on July 12.
A survey conducted by the Korea Financial Investment Association showed that 91.2 percent of bond market specialists expect the 1.25 percent rate to be unchanged at the upcoming Monetary Policy Committee meeting.
The committee is set to convene on July 14.
A survey conducted by the Korea Financial Investment Association showed that 91.2 percent of bond market specialists expect the 1.25 percent rate to be unchanged at the upcoming Monetary Policy Committee meeting.
The committee is set to convene on July 14.
The association said that the central bank is likely to keep the rate unchanged over concerns on growing household debt. The association also said that the rate cut in June is another factor that will influence the BOK’s decision.
The survey also showed that the majority of respondents expected the interest rates on local bonds to remain unchanged. Of the respondents, 61.8 percent expected rates to stay the same, while 29.4 percent projected a drop.
By Choi He-suk (cheesuk@heraldcorp.com)
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Articles by Korea Herald
