The BOK noted the local economy will likely shrink at a faster rate than earlier forecast in May. "Our economic growth may further shrink due to a delay in the recovery of exports that is closely linked to global economic conditions," he told a press briefing. Lee insisted the world has yet to face the worst case, but said economic conditions have deteriorated further than earlier anticipated. Still, the BOK had widely been anticipated to keep the key rate steady this month as there are budding signs of an economic recovery. The BOK too noted problems of skyrocketing housing prices, believed to have been partly prompted by record low interest rates.

Source: The Standard July 16, 2020 06:00 UTC