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The Bank of Korea may stay put this week

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2025-08-25 03:29:30
The Bank of Korea is likely to keep interest rates unchanged for the second time in a row at its policy meeting on Thursday. A survey of 27 economists conducted by the Wall Street Journal showed that 20 economists do not expect to adjust interest rates, while the remaining seven expect to cut rates. Goldman Sachs economists led by Goohoon Kwon said in a report that taking a dovish stance would give the Bank of Korea room to monitor trends in household debt, assess the effects of continued fiscal stimulus and track the Federal Reserve's policy stance. Goldman Sachs forecasts that the Bank of Korea will cut interest rates in October. Most economists expect the Bank of Korea to slightly raise its 2025 GDP and inflation forecasts, citing stronger-than-expected economic growth data in the second quarter.
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