(MENAFN- QNA) South Korea's central bank on Friday froze its benchmark interest rate at 2.5 percent after cutting the rate by a quarter percentage point in the previous month.
The rate freeze was in line with market expectations as the Bank of Korea (BOK) may need time to watch how the August rate cut could affect the economy along with fiscal stimulus and easing regulations on mortgage financing.
Had the BOK cut the policy rate for two straight months, it would have signaled an economic recession as seen in 2009 when the central bank conducted the second straight month of monetary easing at the height of the global financial crisis.
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