Analysts at the Australia and New Zealand (ANZ) banking group that this week’s Bank of Korea’s (BOK) monetary policy decision is likely to be nail-biting, with policymakers contemplating another rate hike.

Key quotes

“The Bank of Korea’s (BoK) upcoming policy decision is likely to be a close call, but we think the central bank will opt against a back-to-back hike in January.” 

“Although recent comments from BoK Governor Lee Ju-yeol signal increasing concerns about persistent price pressures, he also flagged high uncertainties about the economy. “ 

“Accordingly, we think the central bank will continue on its gradual monetary normalization path, with the next hike likely in February, when there is more clarity on growth.”