According to a survey by the Wall Street Journal, the Bank of Korea is expected to keep its benchmark interest rate unchanged at 3.25% next week. Among 21 economists, 19 expect it to remain unchanged, while 2 expect it to be cut by 25 basis points to 3.00%.
Economists at Citigroup believe that there may be divisions within the Bank of Korea’s committee, with at least one member calling for a rate cut, but most members opting not to cut rates for now and possibly easing rates in the short term.
Analysts at Nomura Securities expect the Bank of Korea to cut its economic growth forecast due to slowing exports and weak domestic demand.