Rate hold again - but tone shifts: The BOK held at 2.5% for a second month but internal dissent is growing. Four out of seven board members now back a cut within the next quarter.
Household debt in the crosshairs: Regulators are tightening operational controls - including stricter lending caps and zero LTV for some non-owner occupiers - to rein in rising household debt.
FX and reserves steady: The Won remains range-bound (1,427 to 1,440/USD) and foreign reserves rose for a fourth straight month, easing capital flow concerns.
Digital and green finance reforms accelerate: FSC is pushing ahead with stablecoin legislation and now pressing banks to expand green lending disclosures and investment targets.
South Korea is still balanced, but the pressure points are sharpening. The Bank of Korea (BOK) held again, but the policy tone is shifting. Inflation is falling, debt stress remains and financial regulators are getting louder behind the scenes. This is a slow build, not a sudden break. But ...
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