The Bank of Korea Monetary Policy Committee will decide whether to adjust the base interest rate on the 27th. While analysis suggests that raising the base interest rate is appropriate considering economic growth and inflationary pressures, the possibility of a freeze remains, taking into account factors such as the decline in exchange rates. The second-quarter real GDP growth rate was higher than expected at 0.6%, and the core inflation rate in July also rose to 2.6%. On the other hand, the recent stability of the won/dollar exchange rate below 1,400 won is a factor supporting arguments for adjusting the pace of interest rate hikes. The market anticipates that if the base interest rate is frozen, it is likely to be raised in October.
