AGL 38.15 Decreased By ▼ -0.07 (-0.18%)
AIRLINK 133.50 Increased By ▲ 4.53 (3.51%)
BOP 8.82 Increased By ▲ 0.97 (12.36%)
CNERGY 4.70 Increased By ▲ 0.04 (0.86%)
DCL 8.65 Increased By ▲ 0.33 (3.97%)
DFML 40.00 Increased By ▲ 1.06 (2.72%)
DGKC 85.40 Increased By ▲ 3.46 (4.22%)
FCCL 34.95 Increased By ▲ 1.53 (4.58%)
FFBL 75.52 Decreased By ▼ -0.19 (-0.25%)
FFL 12.79 Decreased By ▼ -0.03 (-0.23%)
HUBC 109.85 Decreased By ▼ -0.51 (-0.46%)
HUMNL 14.10 Increased By ▲ 0.09 (0.64%)
KEL 5.42 Increased By ▲ 0.27 (5.24%)
KOSM 7.73 Increased By ▲ 0.06 (0.78%)
MLCF 41.25 Increased By ▲ 1.45 (3.64%)
NBP 69.84 Decreased By ▼ -2.48 (-3.43%)
OGDC 191.75 Increased By ▲ 3.46 (1.84%)
PAEL 26.33 Increased By ▲ 0.70 (2.73%)
PIBTL 7.40 Increased By ▲ 0.03 (0.41%)
PPL 161.75 Increased By ▲ 9.08 (5.95%)
PRL 26.31 Increased By ▲ 0.92 (3.62%)
PTC 19.47 Increased By ▲ 1.77 (10%)
SEARL 84.15 Increased By ▲ 1.73 (2.1%)
TELE 7.85 Increased By ▲ 0.26 (3.43%)
TOMCL 34.10 Increased By ▲ 1.53 (4.7%)
TPLP 8.69 Increased By ▲ 0.27 (3.21%)
TREET 17.21 Increased By ▲ 0.43 (2.56%)
TRG 60.60 Increased By ▲ 4.56 (8.14%)
UNITY 28.53 Decreased By ▼ -0.25 (-0.87%)
WTL 1.35 No Change ▼ 0.00 (0%)
BR100 10,752 Increased By 93.9 (0.88%)
BR30 32,110 Increased By 778.3 (2.48%)
KSE100 99,930 Increased By 661 (0.67%)
KSE30 31,097 Increased By 65 (0.21%)

SEOUL: South Korea’s central bank said on Thursday it needed to be cautious about a policy shift amid persistent economic risks, such as likely US interest rate cuts and uncertainty over the domestic housing market and debt.

In its quarterly monetary policy report, the Bank of Korea (BOK) said: “There are risks remaining to be noted in the final stage of entering the period of price stability.”

The BOK said a premature shift away from tighter monetary settings could undermine policy credibility and send the wrong message to financial markets about debt and risk-taking.

S Korean won, Taiwan dollar lead Asian FX lower

The BOK cited a policy shift in the United States as one of the risks that could delay disinflation and de-leveraging, although it would also reduce the burden on domestic monetary policy in terms of foreign exchange.

Uncertainty is “very high” when it comes to home prices and household debt, the BOK said.

On risks related to financial institutions’ investments in commercial property markets abroad, the central bank said the possibility of them becoming systemic was low but they needed to be monitored more closely.

Most BOK board members said it was too early for a pivot in monetary policy at their last rate decision meeting in February, when they kept interest rates at a 15-year high, minutes showed earlier this week.

Comments

Comments are closed.