The Bank of Korea held its base rate at 3 percent and said growth this year and next will run considerably above its August forecasts

The Bank of Korea held. Its Monetary Policy Board kept the Base Rate at 3.00 percent on Thursday by a unanimous vote of all seven members, pausing after increases in July and August to weigh the Middle East conflict, policy in major economies and the effect of the two hikes.

The statement leans the other way on the economy. Growth this year and next is now expected to come in considerably above the August forecasts of 3.3 percent and 2.9 percent, carried by chip exports and investment. Consumer prices rose 2.9 percent in September and core prices 2.8 percent, and the board now sees inflation in 2027 running above its earlier projections of 2.3 percent and 2.5 percent.

House prices in and around Seoul are rising faster again. The board said it will decide "the timing and pace of further increases" while assessing inflation, growth and financial stability.