“Sharp (OTC:SHCAY) property price increases in wider metropolitan areas and subsequent household debt growth are very worrisome,” said Chang, according to the minutes published on Tuesday.
“We need more time to check home prices as well as the household debt growth trend, and as such policy interest rates need to stay at the current 3.50%.”
Most board members saw reduced systemic risks from household debt as property prices began to stabilise from September onwards, but many noted global oil prices need monitoring as any further escalation of geopolitical risks in the Middle East could increase import costs by pushing up energy prices.
Governor Rhee Chang-yong on Tuesday said he sees Asia’s fourth-largest economy expanding about 2.2% this year, slower than the annual growth projection of 2.4% made earlier.
Source: Economy - investing.com
