The Korea Herald


BOK holds key rate steady at 1.25% in April

By Korea Herald

Published : April 13, 2017 - 10:36

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South Korea's central bank on Thursday held its key rate steady for April to support the country's growth, despite a recent US rate hike.

The Bank of Korea kept its policy rate at an all-time low of 1.25 percent for the 10th consecutive month in April after dropping the rate to its lowest level to bolster Asia's fourth-biggest economy.

(Yonhap) (Yonhap)

Last month, the US Federal Reserve raised its key rate by a quarter of a percentage point to a target range of 0.75 to 1 percent. It also signaled that additional hikes would be made in a gradual manner later this year.

The BOK has said that the US rate increase does not necessarily mean it will immediately raise its interest rates. The BOK does not hold a monetary policy meeting in March.

In June last year, South Korea's central bank made a surprise rate cut, citing a need to stimulate the lackluster economy amid a prolonged economic slowdown. (Yonhap)