The Bank of Korea held its policy interest rate steady at 2.5% for the sixth consecutive meeting in February 2026, continuing its extended pause in the easing cycle in line with market expectations. The unanimous decision reflects policymakers’ confidence in ongoing support from the chip sector and stable inflation, giving the BOK more time to assess financial stability risks while reducing the economy’s need for additional stimulus. Officials are also keeping an eye on the won’s weakness against the dollar and the potential for lower borrowing costs to drive up household debt. Since October 2024, the central bank has cut its benchmark interest rate by a total of 100 basis points to 2.5%, to support economic growth, keeping the rate unchanged since May 2025. On the macroeconomic front, the central bank revised up its GDP growth forecast to 2% in 2026 from the previous projection of 1.8%, while the average inflation rate is now expected at 2.2% from the prior 2.1% estimate. source: The Bank of Korea
The benchmark interest rate in South Korea was last recorded at 2.50 percent. Interest Rate in South Korea averaged 2.90 percent from 1999 until 2026, reaching an all time high of 5.25 percent in October of 2000 and a record low of 0.50 percent in May of 2020. This page provides - South Korea Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. South Korea Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on March of 2026.
The benchmark interest rate in South Korea was last recorded at 2.50 percent. Interest Rate in South Korea is expected to be 2.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the South Korea Interest Rate is projected to trend around 2.50 percent in 2027, according to our econometric models.