Bank of Korea Holds Rate at 2.50% and Unveils Fed-Style Dot Plot

Overview

• Policymakers kept the base rate at 2.50% for a sixth straight meeting in a unanimous vote.
• The inaugural six‑month dot plot shows 16 of 21 projections at 2.50%, four at 2.25% and one at 2.75%.
• The bank raised its 2026 GDP forecast to 2.0%, citing stronger semiconductor exports and firmer consumption.
• Risks highlighted include won exchange‑rate volatility, an overheated housing market and rising household debt, plus uncertainty over U.S. tariffs and geopolitics.
• The dot plot will be published quarterly with economic forecasts in February, May, August and November, with information on dissenters disclosed at release.