Bank of Korea Cuts Growth and Inflation Forecasts, Holds Rates

South Korea’s central bank cut its economic growth and inflation forecasts and left its key interest rate unchanged as the nation’s export-dependent economy faces rising risks.

BOK Governor Lee Ju-yeol said the gross domestic product was now expected to grow 2.5 percent and inflation to register 1.1 percent in 2019. Those marked downgrades from forecasts of 2.6 percent and 1.4 percent, respectively, in January.