Shin's BOK signals active central bank intervention, putting monetary tightening and CBDC in spotlight SEOUL, June 02 (AJP) - The Bank of Korea (BOK) International Conference themed "Central Banks and the Future of Money," which ran from Monday to Tuesday, served as less of a purely academic event and more of a debut public stage highlighting the long-term vision of BOK Governor Shin Hyun-song. The central bank positioned staunch advocates of price and financial stability at the forefront while pitching a future monetary order centered around central bank digital currencies (C June 2, 2026

UPDATE: Korea's May inflation hits 26-mo high, hastening hike agenda *Updated with additional information and market response. SEOUL, June 02 (AJP) - South Korea's inflation accelerated by the fastest pace in 26 months to run above 3 percent in May as energy shocks from prolonged Gulf conflicts pushed up prices from fueling to service charges coupled with crisis-level exchange rate to rock capital markets and send the central bank scrambling for emergency actions. The composite consumer price index for May rose 3.1 percent from a year earlier, June 2, 2026

Consumer prices hit 26-month high as fuel prices soar SEOUL, June 2 (AJP) - South Korea's consumer prices rose 3.1 percent in May from a year earlier, the Ministry of Statistics and Data said on Tuesday. Consumer prices, which serve as a key gauge of inflation, rose above 3 percent for the first time in 26 months since February 2024, fueled by sharp increases in petroleum and industrial product prices. An index measuring the prices of daily necessities also rose to 3.3 percent, the highest level since March 2024, suggesting that June 2, 2026

UPDATE: Korea's April factory output and spending retreat on Gulf energy shocks *updated with additional information and market response SEOUL, May 29 (AJP) — The energy shocks from a months-long disruption of the Strait of Hormuz arising from Middle East conflicts have landed on South Korean shores, battering industrial activity, corporate investment, and consumer spending in April, official data showed Friday. Factory output fell 0.7 percent month-on-month, marking the first contraction since January, as the crucial refining sector was hit hard by May 29, 2026

Korea's April industrial activity and spending retreat on Gulf energy shocks SEOUL, May 29 (AJP) - The energy shocks from months-long disruption of the Strait of Hormuz from the Middle East conflicts arrived on South Korean shores, battering industrial activity, corporate and consumer spending in April, data showed Friday. Factory output fell 0.7 percent from the previous month in April, the first contraction since January, as the refining sector was hit hard by the suspension of shipments from the Gulf, according to the Ministry of Statistics and Data. May 29, 2026

AJP Watch: BOK's strongest-yet hike signal rattles markets SEOUL, May 28 (AJP) - After sitting on the benchmark at 2.50 percent for a full year, the Bank of Korea on Thursday issued the strongest-yet signal of a shift towards hikes of between 25 to 75 basis points, splashing cold waters on chip-blind stock frenzy. New Governor Shin Hyun-song, presiding over his first rate-setting meeting and media briefing, could hardly have been blunter about the direction ahead. "All the signs — price pressure, the growth May 28, 2026

BOK ups 2026 estimates for GDP growth to 2.6%, inflation to 2.7% SEOUL, May 28 (AJP) - The Bank of Korea (BOK) expects the economy to grow 2.6 percent this year, which would be the strongest in four years, and inflation to rise at the fastest post-pandemic pace due to energy shocks from the prolonged Gulf crisis. The central bank on Thursday hiked its annual GDP growth projection from the previous 2.0 percent to 2.6 percent, marking the second consecutive upgrade following the BOK's move in February, when it revised the growth outlook upwa May 28, 2026

BOK holds rate steady for year, keeps July move in play SEOUL, May 28 (AJP) — As widely expected, the Bank of Korea (BOK) on Thursday kept its benchmark interest rate unchanged at 2.5 percent for a full year, deferring a possible rate move to its next meeting in July as it judged the chip boom strong enough to offset the fallout from months-long Gulf disruptions and support stronger-than-expected economic growth. The first post-meeting briefing by new Governor Shin Hyun-song will be closely watched. The former BIS economist has May 28, 2026

Korea's May consumer sentiment sharply rebounds on strong exports and equities SEOUL, May 22 (AJP) -South Korea’s consumer sentiment rebounded sharply in May, returning to optimistic territory after briefly slipping below the long-term average a month earlier, as robust exports and a record-setting stock rally outweighed concerns over prolonged Middle East tensions and rising energy prices, central bank data showed Friday. Sentiment about current economic conditions and future prospects improved even as inflation expectations hovered near 3 percent, re May 22, 2026

Seoul ups financial scrutiny on leverage ETFs amid frenzy SEOUL, May 19 (AJP) -South Korea's Financial Supervisory Service (FSS) has unveiled a sweeping set of preemptive consumer protection measures targeting leverage exchange-traded funds, social media investment influencers, and corporate insurance agencies, as domestic stock market volatility continues to climb. FSS Governor Lee Chan-jin chaired the second Consumer Risk Response Committee meeting at the agency's Seoul headquarters on Tuesday, where attendees reviewed emergi May 19, 2026