Bank of Korea held on the 9th regular meeting of the Monetary Board, announced that it would remain at its current benchmark rate of 2%. This is the Bank of Korea in March this year for 5 months since the freezing of interest rates.

Bank of Korea in October last year lowered the benchmark interest rate from month to month, as of February this year has a total of 3.25 percentage point cut to 2%.

Analysts believe that the Bank of Korea decided to continue to freeze interest rates, indicating that the central bank believes that the economy has yet to revive.

Bank of Korea official said: "There are signals show that the economy is gradually returning, but the intensity is weak, could not have been convinced that the resumption of full. In such a case if the increase in interest rates may have an adverse impact on the economy as a whole."

South Korea Ministry of Planning and Ministry of Finance recently predicted that the Korean economy this year will be a negative growth of 1.5 percent, better than previously expected a negative growth of 2 percent next year, the Korean economy is expected to grow by 4%.

2009-7-10