The South Korean central bank keeps the benchmark interest rate unchanged, with economic risks roughly balanced.

The Bank of Korea maintained its benchmark interest rate unchanged, as the ongoing financial stability risks and strong exports gave policymakers more time to weigh the next steps. The Bank of Korea on Thursday kept the 7-day repurchase rate unchanged at 2.5%, continuing the policy of holding steady since last July. Prior to this, the Bank of Korea had cut interest rates four times since October 2024. This decision was in line with expectations. Governor Lee Ju-yeol plans to brief reporters later on Thursday, where he is expected to provide a detailed outlook on policy and how the central bank's decision-making unit views the balance between strong exports and weak domestic demand.