Bank of Korea Hikes Again as It Raises Growth, Inflation Forecasts - WSJ

Bank of Korea Hikes Again as It Raises Growth, Inflation Forecasts  WSJ

EconomyWhile exports continue to grow, headwinds intensify for small buisinessesSouth Korea's central bank on Aug. 27 delivered its first back-to-back interest rate hike since January 2023. (Photo by Mayumi Tsumita)STEVEN BOROWIECAugust 27, 2026 11:37 JSTSEOUL -- South Korea's central bank raised its key interest rate

The Bank of Korea (BOK) raised the benchmark rate by 0.25 percentage point for the second straight meeting Thursday to curb mounting inflationary pressure. The BOK's Monetary Policy Board hiked the key rate to 3 percent at its regular rate-setting meeting in Seoul, marking the highest level since January 2025. The cent

The Bank of Korea hiked rates by 25 basis points to 3%, its highest since January 2025 and in line with expectations.

The main inflation gauge used by the Federal Reserve to set U.S. interest rates rose at an elevated rate in July, potentially pushing the Federal Reserve closer to a vote to raise interest rates next month.

Michael Faulkender, Former Deputy Secretary of the United States Treasury,  says Kevin Warsh should reinforce his commitment to bringing inflation back to 2.0%, while arguing that energy-driven price pressures do not justify an interest-rate increase. Faulkender says the $40 trillion debt threshold may have finally foc