Bank of Korea wrong-foots markets – answers

questions

1. How were interest rates left by the Bank of Korea? on hold
2. What did the bank focus on? downside risks for the economy
3. Which three external risks are mentioned? Eurozone debt, Middle East unrest and the Japanese earthquake
4. What is the BOK Governor facing with the domestic economy? a dilemma
5. What percentage of Korea’s economic growth came from exports? 90%
6. What might the percentage growth have been were it not for exports? 0.2%
7. Which verb describes the effect of household debt on the economy? to weigh ‘weighing on the sluggish economy’
8. Which adjective describes the decision to hold interest rates? cautious
9. What may continue this year? high inflation
10. What is the bank’s upper target for inflation? 4%