South Korea interest rate
Bank of Korea
- Policy rate
- 3.00%
- Aug 28, 2026
- Last move
- +0.25 pt
- Aug 28, 2026
- Inflation
- 3.1%
- Aug 2026
- 10-year bond yield
- 4.29%
- Aug 2026
The policy rate set by the Bank of Korea is 3.00% as of Aug 28, 2026. Its most recent move: it raised its rate from 2.75% to 3.00% (Aug 28, 2026). The rate is 0.50 percentage points higher than a year earlier. With consumer prices up 3.1% over the 12 months to Aug 2026, the real rate (policy rate minus inflation) is −0.1%: borrowing costs are below inflation.
Policy rate over the past two years
Aug 28, 2026: 3.00%
Rate changes
| When | Decision | From | To | Change |
|---|---|---|---|---|
| Aug 28, 2026 | Hike | 2.75% | 3.00% | +0.25 pt |
| Jul 2026 | Hike | 2.50% | 2.75% | +0.25 pt |
| May 2025 | Cut | 2.75% | 2.50% | −0.25 pt |
| Feb 2025 | Cut | 3.00% | 2.75% | −0.25 pt |
| Nov 2024 | Cut | 3.25% | 3.00% | −0.25 pt |
| Oct 2024 | Cut | 3.50% | 3.25% | −0.25 pt |
Changes between month-end rates, plus the latest daily reading. Two decisions in one month show up as a single change.
Inflation (% vs a year earlier)
Aug 2026: 3.1%
10-year government bond yield
Aug 2026: 4.29%
Other central banks in Asia
Source: BIS; inflation: IMF CPI; bond yield: OECD. Updated daily. All central bank rates · South Korea economy dashboard