Chairman Shin Hyun-song of the Bank of Korea, 7on 16signaling the possibility of a base-rate hike
Bank of Korea Governor Shin Hyun-song 7on 9said during a National Assembly business report that “high inflation will continue for the time being” and again signaled a “base-rate hike at an appropriate time.” 7on 16Attention is on the Monetary Policy Board’s decision.
Bank of Korea Governor Shin Hyun-song 2026year 7month 9on the National Assembly Planning and Finance Committee’s business report, again raised the possibility of an “appropriate-time hike” in the base rate. This comment came before the Monetary Policy Board’s interest-rate decision 7month 16day.
Governor Shin said in the report that “high inflation will continue for the time being.” He cited continued upward pressure on prices as the basis for mentioning the need for an interest-rate hike.
He also said that, regarding the background to the signal on base-rate adjustments, the specific timing would depend on the Monetary Policy Board’s judgment. He explained this by distinguishing his personal view from the committee’s decision.
Meanwhile, Governor Shin said that the possibility of a trend decline in stocks was limited. He said he also gave an assessment related to market volatility.
The next meeting of the Monetary Policy Board will be held on 2026 year 7 month 16 day. At that meeting, the decision on whether to make an additional adjustment to the base rate will be officially made.
Governor Shin’s remarks were disclosed through a report to the National Assembly. The remarks are an issue that could directly affect financial markets and companies’ funding conditions.