South Korea cuts interest rates to revive growth
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South Korea’s central bank cut its rates for the first time in three years last week in an unprecedented bid to rejuvenate the country’s spiralling growth.
The Bank of Korea cut its key interest rate to 3 per cent from 3.25 per cent.
The decision follows the release of data earlier in the year showing the economy grew 2.8 per cent in the first quarter, the lowest level for two-and-a-half years.
Meanwhile, Brazil’s central bank took interest rates to an all-time low last week after cutting them for the eighth consecutive time. The move continues policy makers’ drive to spur on growth in the stagnant economy, which has remained almost flat for the past three-quarters
The Banco Central do Brasil reduced the benchmark Selic lending rate by 50 basis points to 8 per cent.
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