Why does the Bank of Korea expect inflation to stay in the high 2 percent range in November?

The BOK pointed to global oil prices and a continued upward trend in core inflation. It also said cost-push and demand-pull pressures were keeping inflation elevated amid lingering uncertainty in the Middle East.

What drove the slowdown in South Korea’s consumer inflation in October?

Improved shipments of agricultural products helped slow price growth, and prices of agricultural, livestock and fishery products declined. However, petroleum products rose sharply, while prices of private services and durable goods remained elevated.

How did South Korea’s core inflation and petroleum prices compare in October?

Core inflation, which excludes volatile food and energy prices, was 2.8 percent year on year. Petroleum product prices increased 14.9 percent over the same period, while agricultural, livestock and fishery product prices fell 1.7 percent.

BOK sees consumer inflation remaining near 3% in November

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Summary

The Bank of Korea expects consumer inflation to remain in the high 2 percent range in November, citing global oil prices and a continued rise in core inflation. Deputy Gov. Lee Ji-ho said October price growth slowed as agricultural shipments improved, while private services and durable goods remained expensive. Consumer prices rose 2.8 percent year on year in October, down from 2.9 percent in September and 3.1 percent in August. The BOK cited cost-push and demand-pull pressures amid uncertainty in the Middle East.

Key Facts

Prices of agricultural, livestock and fishery products fell 1.7 percent year on year in October.
Petroleum product prices rose 14.9 percent year on year in October.
Core inflation, excluding volatile food and energy prices, was 2.8 percent year on year in October.

By Yonhap

Published Nov 3, 2026 10:21 am KST

Bank of Korea deputy Gov. Lee Ji-ho / Courtesy of Bank of Korea

Consumer prices are expected to rise into the high 2 percent range in November due to an upward trend in core inflation, the central bank said Tuesday.

"Consumer prices rose at a slower pace in October as shipments of agricultural products improved, but prices of private services and durable goods remained elevated," Deputy Gov. Lee Ji-ho said during a meeting to review inflation trends.

"In November, inflation is expected to remain in the high 2 percent range, affected by global oil prices and a continued upward trend in core inflation."

Earlier in the day, government data showed that the country's consumer prices rose 2.8 percent last month from a year earlier, slowing from 2.9 percent in September and 3.1 percent in August.

Prices of agricultural, livestock and fishery products fell 1.7 percent over the same period, while petroleum product prices advanced 14.9 percent on-year.

Core inflation, which excludes volatile food and energy prices, stood at 2.8 percent on-year in October.

The BOK expected inflation to remain elevated due to both cost-push and demand-pull pressures amid lingering uncertainties in the Middle East.

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