The Bank of Korea headquarters in Seoul (Image courtesy of Yonhap)
SEOUL, May 2 (Korea Bizwire) — Inflation remains generally stable, but uncertainties surrounding consumer prices remain high due to U.S. President Donald Trump’s administration’s new tariff scheme, the central bank said Friday.
Bank of Korea (BOK) Deputy Gov. Kim Woong made the assessment during a meeting to review price trends, following government data that showed consumer prices increased 2.1 percent from a year earlier in April, marking the fourth consecutive month of prices growing above the target rate of 2 percent.
“Consumer prices and core inflation rates are expected to hover around 2 percent for the time being, as downward pressures, such as falling global oil prices and weak demand, are offset by upward factors like the won-dollar exchange rate,” Kim said.
“Inflation remains generally stable, but the government plans to closely review the inflation trajectory in the economic outlook to be released in May. Uncertainties have heightened regarding U.S. tariff policies,” he added.
Consultations are under way between Seoul and Washington about the new tariff scheme, as the two nations agreed last month to seek a package agreement on trade and other related issues before July 8, when President Donald Trump’s 90-day pause on reciprocal tariffs ends.
(Yonhap)
