SEOUL — The average lending rate for major banks in South Korea saw a decrease in June, continuing a trend that fluctuates but generally points towards easing. The Korea Federation of Banks reported that the COFIX, a critical benchmark for mortgage loans, dropped slightly to 3.52 percent last month, a decrease of 0.04 percentage points from May.
According to Yonhap News Agency, this decrease follows a minor increase in May, which had ended a previous five-month period of declining rates. Furthermore, the rate for outstanding loans also decreased by 0.01 percentage point to 3.73 percent, marking the eighth consecutive month of declines. The COFIX rate is calculated from the cost of funds information provided by eight major banks in South Korea, including Nonghyup Bank, Shinhan Bank, Woori Bank, Standard Chartered Bank Korea, Hana Bank, Industrial Bank of Korea, Kookmin Bank, and Citibank Korea.