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Bank of Korea Raises Benchmark Interest Rate to 3%

· Business · The Korea Times, MarketWatch

The Bank of Korea has increased its benchmark interest rate to 3% in response to persistent inflationary pressures. The decision aims to stabilise the economy as consumer prices remain elevated. This move reflects the central bank's ongoing strategy to curb inflation through monetary tightening.

Why it matters

The rate hike increases borrowing costs for South Korean households and businesses, potentially slowing domestic consumption and investment activity.

Read the original report — The Korea Times

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