The Bank of Korea has raised its benchmark interest rate by 0.25 percentage points to 3 per cent, delivering a back-to-back increase amid concerns over inflation and financial stability risks.
The move announced on Thursday was the second in as many months under central bank governor Shin Hyun-song, a renowned international economist who took up the role in April.
Before July’s 0.25 percentage point rise, the BoK had held rates at 2.5 per cent since May 2025.
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