Juliana Lee of Deutsche Bank said that after raising interest rates to 2.75% on Thursday, the Bank of Korea may raise interest rates three more times by the end of the second quarter of 2027. The economist expects the Bank of Korea to raise the policy interest rate to 3.50% because the July statement clearly mentioned that it will maintain a “policy position consistent with further interest rate hikes” when economic growth is stronger than expected and inflation continues to be above target. Lee added that increased foreign exchange fluctuations, accelerated growth in household debt, and new pressure on housing prices also supported Deutsche Bank's forecast that the Bank of Korea would further raise policy interest rates.

Juliana Lee of Deutsche Bank said that after raising interest rates to 2.75% on Thursday, the Bank of Korea may raise interest rates three more times by the end of the second quarter of 2027. The economist expects the Bank of Korea to raise the policy interest rate to 3.50% because the July statement clearly mentioned that it will maintain a “policy position consistent with further interest rate hikes” when economic growth is stronger than expected and inflation continues to be above target. Lee added that increased foreign exchange fluctuations, accelerated growth in household debt, and new pressure on housing prices also supported Deutsche Bank's forecast that the Bank of Korea would further raise policy interest rates.