S. Korea’s consumer prices up 4.2 pct in March

Business

South Korea’s on-year growth in consumer prices fell to the lowest level in a year in March, data showed Tuesday, in the latest signal that inflation could slow throughout this year.

Consumer prices, a key gauge of inflation, rose 4.2 percent last month from a year earlier, according to the report from Statistics Korea.

Inflation stayed above 2 percent — the central bank’s inflation target over the medium term — for the 24th straight month in March.

In February, the Bank of Korea kept the benchmark interest rate unchanged at 3.5 percent for the first time in 10 months as worries are growing that aggressive monetary tightening could hurt economic growth.

The central bank plans to hold another rate-setting meeting next Tuesday.

Source: Yonhap News Agency