South Korea’s central bank’s governor has moderated his aggressive approach amid weaker inflation and sluggish GDP.

The seven-member monetary policy board unanimously opted to maintain the base rate at 3.50%, as predicted.

The BOK maintained its 1.4% economic growth projection from May but trimmed next year’s to 2.2% from 2.3%.

Inflation forecasts remained unchanged in a rate decision statement.

The BOK said uncertainties regarding future growth in the Chinese economy, economic growth in major advanced countries, and the timing of a rebound in the IT industry are judged to be high.

The BOK hasn’t raised interest rates since January and most analysts think it’s finished tightening.

South Korea’s annual consumer inflation fell from 6.3% in July 2022 to 2.3% in July, slightly over the central bank’s medium-term aim of 2.0%.