People don’t take loans in South Korea
2022.11.21 22:28
People don’t take loans in South Korea
Budrigannews.com – According to data released on Tuesday by the central bank, South Korea’s household credit grew at the slowest annual rate in at least two decades in the third quarter. This was in the midst of a rapid rate hike cycle designed to control inflation.
The Bank of Korea reports that by the end of September, the country’s household credit had reached a record level of 1,870.6 trillion won, or $1.38 trillion. This was an increase of 0.1 percent from the previous quarter.
The household credit in the third quarter was up 1.4% from the previous year, but it was lower than the 3.2% annual increase at the end of the second quarter.Since the data set began in the fourth quarter of 2002, this was the smallest annual gain.
Since August 2021, when interest rates were at a record low of 0.50%, the central bank of South Korea has increased them by a total of 250 basis points (bp).It is anticipated that it will raise rates by 25 basis points on Thursday, bringing them to their highest level since 2012.
($1 = 1,372.1334 won)
