---
title: "The Bank of Korea announces: an interest rate hike of 25 basis points!"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/292837255.md"
description: "The Bank of Korea announced on July 16th an interest rate hike of 25 basis points to 2.75%, marking the first rate increase since January 2023. Governor Rhee Chang-yong stated that strong growth in emerging industries supports the economy, necessitating a tightening of monetary policy to address inflationary pressures. Following this news, the South Korean stock market fell sharply, with the KOSPI index dropping over 6%, and the stock prices of Samsung Electronics and SK Hynix both significantly declined"
datetime: "2026-07-16T01:55:49.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/292837255.md)
  - [en](https://longbridge.com/en/news/292837255.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/292837255.md)
generator: "portal-rs"
---

# The Bank of Korea announces: an interest rate hike of 25 basis points!

On July 16, the Bank of Korea announced an interest rate hike of 25 basis points to 2.75%, marking the first rate increase since January 2023.

Bank of Korea Governor Rhee Chang-yong recently stated that the strong growth of emerging industries continues to support the economy, making it necessary to tighten monetary policy. He indicated that it is necessary to raise interest rates "at an appropriate time in the future," with the timing depending on the level of inflationary pressure, the pace of economic recovery, and financial stability. Rhee Chang-yong expects that the increased demand from economic recovery will offset the downward pressure from falling global oil prices, and consumer inflation will remain above target levels.

In the secondary market, on July 16, the South Korean stock market fell sharply in the morning session. As of the time of writing, the Korea Composite Stock Price Index (KOSPI) had dropped over 6%, with SK Hynix down over 11% and Samsung Electronics down over 8%

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---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**