BOK head hints at another rate hike in 1st quarter of 2022
Bank of Korea Governor Lee Ju-yeol speaks during an online press briefing held at the bank's headquarters in Seoul, Thursday. YonhapCentral bank raises key interest rate by 25 basis points to 1%By Lee Kyung-min Bank of Korea Governor Lee Ju-yeol hinted at another key rate hike in the first quarter of next year, Thursday, in a clear show of determination in monetary policy normalization from emergency, ultra-low easing brought on by COVID-19 pandemic. Most factored in was elevated concerns over inflation and soaring household debt.His remarks came less than an hour after the BOK monetary policy board voted to hike the key rate by 25 basis points to 1 percent, a widely expected move brought on by rising inflation but buttressed by the country's solid economic recovery. The effect of monetary policy could be undermined, in the governor's view, as outpaced significantly by the stronger-than-expected recovery in the real economy, a reason why Lee considers a prompt drawdown in easing as inevitable.Korea relative to its emerging market peers in his view is insulated from financial mar
