Bank of Korea chief says political turmoil barred it from cutting rates

Bank of Korea chief says political turmoil barred it from cutting rates Bank of Korea chief says political turmoil barred it from cutting rates

SEOUL — The recent political turmoil in South Korea stopped the country’s central bank from cutting its key interest rate on Thursday, its chief said, with most board members worried that such a move would have further weakened the nation’s currency.

The Bank of Korea’s seven-member Monet Policy Board kept its benchmark rate unchanged at 3% on Thursday with one dissenting vote, surprising markets which had predicted a cut following two previous consecutive reductions.