Politics
Bank of Korea’s Minutes Show Wider Support for Hawkish Shift
Key Points
Bank of Korea’s Minutes Show Wider Support for Hawkish Shift South Korea’s central bank was already leaning toward higher rates at its May meeting, even with some policymakers who voted to keep borrowing costs unchanged arguing that inflation risks were starting to outweigh the costs of tighter policy. Minutes released Tuesday showed that several Bank of Korea board members signaled that the debate was shifting toward when, rather than if, policy should be tightened as inflation and...
Bank of Korea’s Minutes Show Wider Support for Hawkish Shift
South Korea’s central bank was already leaning toward higher rates at its May meeting, even with some policymakers who voted to keep borrowing costs unchanged arguing that inflation risks were starting to outweigh the costs of tighter policy.
Minutes released Tuesday showed that several Bank of Korea board members signaled that the debate was shifting toward when, rather than if, policy should be tightened as inflation and financial stability risks mounted. That was on top of two who called for an immediate quarter-percentage-point rate hike.