According to Odaily, several Asian central banks are scheduled to hold interest rate meetings this week. Among them, the Bank of Korea will convene on Thursday, February 22. The unexpected drop in South Korea's unemployment rate to its lowest level since October last year has provided the central bank with further motivation to delay any policy shifts. Last Wednesday, South Korea's statistics department reported that the seasonally adjusted unemployment rate fell to 2.5% in July, down from 2.8% the previous month.
Economists surveyed had previously predicted a slight increase to 2.9%. The Bank of Korea is expected to maintain its current policy stance at the upcoming meeting. Many economists have recently postponed their expectations for the central bank to shift to a more accommodative policy, now predicting that October is the most likely time for such a move. Additionally, the central banks of Thailand and Indonesia will also hold interest rate meetings this week. Given the continued decline in prices and slowing economic growth, both central banks are expected to announce interest rate cuts.
