Bank of Korea Raises Base Rate to 3.00%, Second Consecutive Hike

The Bank of Korea raised its Base Rate by 25 basis points to 3.00% on August 27, 2026, its second straight hike after July's move ended a three-year pause. The rate now sits above the 2.75% level that seven of nine policymakers projected in May. Reuters reports median forecasts see 3.25% by Q1 2027.