South Korea Interest Rate 1999-2014 | Data | Chart | Calendar | Forecast

The benchmark interest rate in South Korea was last recorded at 2 percent. Interest Rate in South Korea averaged 3.65 Percent from 1999 until 2014, reaching an all time high of 5.25 Percent in October of 2000 and a record low of 2 Percent in February of 2009. Interest Rate in South Korea is reported by the The Bank of Korea.

      Forecast    
South Korea Interest Rate


Actual Previous Highest Lowest Dates Unit Frequency
2.00 2.00 5.25 2.00 1999 - 2014 percent Daily
In South Korea the interest rates decisions are taken by the Bank of Korea’s (BOK) Monetary Policy Committee. The official interest rate is the Bank of Korea Base Rate which was changed from overnight call rate on March 2008. This page provides - South Korea Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Content for - South Korea Interest Rate - was last refreshed on Saturday, December 20, 2014.


South Korea Keeps Base Rate Unchanged in December


South Korean Monetary Policy Committee left the base rate unchanged at 2 percent at its December 11th meeting, as outlook for economic growth remains weak.

Excerpts from the statement by the Bank of Korea:

The Committee considers that, although the trend of economic recovery in the US has become more evident, the sluggishness of economic activities in the euro area has continued while trends of economic growth in emerging market countries have differed from country to country. The Committee forecasts that the global economy will sustain its modest recovery going forward, centering around the US, but judges that the possibility exists of its being affected by changes in the monetary policies of major countries, by the prolongation of economic sluggishness in the euro area, by the weakening of economic growth in some emerging market countries, and by geopolitical risks.
 
In Korea, while exports have maintained generally favorable movements the Committee judges that the recoveries of consumption and facilities investment have been inadequate and that the sentiments of economic agents remain weak. On the employment front, the number of persons employed has expanded steadily, led by increases in the 50-and-above age group and in the service sector. The Committee expects that the negative output gap in the domestic economy will gradually narrow going forward, albeit at a moderate pace.
 
Consumer price inflation fell from 1.2% the month before to 1.0% in November, due mainly to declines in petroleum product prices and to slowdowns in the rates of industrial product price increase. Core inflation excluding agricultural and petroleum product prices fell to 1.6%, from 1.8% in October. Looking ahead, the Committee forecasts that inflation will gradually rise, after remaining at a low level for a considerable time influenced for example by declines in international oil prices. In the housing market the uptrend of sales prices has slowed, centering around Seoul and its surrounding areas, while leasehold deposit prices have continued to rise at a pace similar to that in October.
 
In the domestic financial markets, the Korean won has continued its depreciation against the US dollar and its appreciation against the Japanese yen, in line with the strength of the dollar globally and the weakness of the yen. Stock prices, after having fluctuated within a relatively narrow range, have fallen to a considerable extent. Long-term market interest rates had shown a decline, in reflection mainly of expectations related to the monetary policies of major countries, but have rebounded.
 
Looking ahead, while supporting the recovery of economic growth, the Committee will conduct monetary policy so as to maintain price stability over a medium-term horizon and pay attention to financial stability. In this process it will closely monitor external risk factors such as shifts in major countries’ monetary policies, as well as the trends of household debt and of capital flows.

Bank of Korea l Rida l rida@tradingeconomics.com
12/11/2014 11:41:02 AM


Recent Releases

South Korea Monetary Policy Unchanged in November
South Korean Monetary Policy Committee left the base rate unchanged at 2 percent at its November 13th meeting, as it weighs the effects of last month's rate cut. Published on 2014-11-13

South Korea Cuts Base Rate to Record Low at 2%
At its October 15th meeting, South Korean Monetary Policy Committee lowered the base rate by 25 basis points to 2.0 percent to boost the country’s economic growth. It is the second rate cut in the last three months, bringing the policy rate to a record low. Published on 2014-10-15


Calendar GMT Event Actual Previous Consensus Forecast (i)
2014-10-15 02:00 AM
Interest Rate Decision 
2.0% 2.25% 2.0% 2.25%
2014-11-13 01:00 AM
Interest Rate Decision 
2.0% 2.0% 2.0% 2.0%
2014-12-11 01:00 AM
Interest Rate Decision 
2% 2.0% 2.0% 2%
2015-01-09 01:00 AM
Interest Rate Decision 
2%
2015-02-13 01:00 AM
Interest Rate Decision 
2%
2015-03-13 01:00 AM
Interest Rate Decision 
2%


South Korea Money Last Previous Highest Lowest Unit
Interest Rate 2.00 2.00 5.25 2.00 percent [+]
Interbank Rate 1.98 2.08 25.34 1.76 percent [+]
Money Supply M0 61002100.00 60055600.00 61002100.00 11200.00 KRW Million [+]
Money Supply M1 563761.20 556716.00 563761.20 260.40 KRW Billion [+]
Money Supply M2 2068043.00 2039282.20 2068043.00 590.60 KRW Billion [+]
Money Supply M3 2792257.10 2761046.60 2792257.10 57007.90 KRW Billion [+]
Foreign Exchange Reserves 363095.40 363723.40 368026.40 564.50 USD Million [+]
Loans to Private Sector 5969.00 6397.00 7695.00 -3462.00 KRW Billion [+]
Central Bank Balance Sheet 480357.00 496806.00 496806.00 310.00 KRW Billion [+]


Interest Rate Reference Previous Highest Lowest Unit
Australia 2.50 Dec/14 2.50 17.50 2.50 percent [+]
Brazil 11.75 Dec/14 11.25 45.00 7.25 percent [+]
Canada 1.00 Dec/14 1.00 16.00 0.25 percent [+]
China 5.60 Nov/14 6.00 10.98 5.31 percent [+]
Euro Area 0.05 Dec/14 0.05 4.75 0.05 percent [+]
France 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Germany 0.05 Dec/14 0.05 4.75 0.05 percent [+]
India 8.00 Dec/14 8.00 14.50 4.25 percent [+]
Indonesia 7.75 Dec/14 7.75 12.75 5.75 percent [+]
Italy 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Japan 0.00 Dec/14 0.00 9.00 0.00 percent [+]
Mexico 3.00 Dec/14 3.00 9.25 3.00 percent [+]
Netherlands 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Russia 17.00 Dec/14 9.50 17.00 5.00 percent [+]
South Korea 2.00 Dec/14 2.00 5.25 2.00 percent [+]
Spain 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Switzerland -0.25 Dec/14 0.00 3.50 -0.25 percent [+]
Turkey 8.25 Nov/14 8.25 500.00 4.50 percent [+]
United Kingdom 0.50 Dec/14 0.50 17.00 0.50 percent [+]
United States 0.25 Dec/14 0.25 20.00 0.25 percent [+]