Presidential Office Responds to Criticism of Bank of Korea's Independence Violation: "Expression Indicates Independence"

"Statement Released Following Decision to Hold Base Interest Rate Steady"

Bank of Korea Governor Lee Chang-yong is presiding over the Monetary Policy Committee meeting held at the Bank of Korea headquarters in Jung-gu, Seoul on the 22nd.
[Image source=Yonhap News]

The Presidential Office on the 23rd responded to criticism that its statement expressing "regret" over the Bank of Korea's decision to keep the base interest rate unchanged infringed on the bank's independence by arguing, "It is precisely because of its independence that we expressed regret."

A Presidential Office official told reporters that day, "Respecting the opinions of the Bank of Korea's Monetary Policy Committee is a given," adding, "Isn't it that we expressed regret belatedly after the base rate freeze decision?"

The official further stated, "With Chuseok approaching next month and difficulties present, we now plan to prepare measures to stimulate domestic demand," and added, "Next week, we will announce a government-wide Chuseok stabilization plan aimed at price stability and boosting domestic demand."

The previous day, a senior Presidential Office official had unusually expressed, right after the Bank of Korea's Monetary Policy Committee decided to keep the base rate at 3.50%, "While the interest rate decision is the exclusive authority of the Monetary Policy Committee, there is regret from the perspective of stimulating domestic demand."