S. Korea inflation slows to 1.6 percent
SEOUL – South Korea’s inflation rate slowed to a three-month low in November, government data showed Monday, allowing more room for the central bank to cut rates to bolster growth.
The consumer price index rose 1.6 percent from a year earlier, slowed by falling prices of telecommunication services and key items including medicines and televisions, according to Statistics Korea.
The November figure compared with a 2.1 percent gain the month before and is the lowest since a 1.2 percent increase in August.
It was well below the Bank of Korea’s inflation target of 2.0 to 4.0 percent.
Core inflation, which excludes volatile energy and food prices, was 1.3 percent in November, down from 1.5 percent in October.
Central bank policymakers are widely expected to leave the key interest rate unchanged at 2.75 percent in a meeting next week, after already trimming it twice so far this year.
Asia’s fourth-largest economy expanded at the slowest pace in three years in the third quarter, prompting expectations of a further rate cut early next year.
Get Inquirer updates while on the go, add us on these apps:
Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of INQUIRER.net. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City,Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94