The Bank of Korea says it's going to maintain its accommodative monetary policy stance in the near term.
In its monetary policy report for May, the central bank said global trade is slowing down, which would hurt local exports and domestic economic growth amid uncertainties over the U.S.-China trade dispute.
South Korea's consumer price inflation for the first quarter was zero-point-five percent, well below the BOK's two-percent target.
The Bank of Korea has kept its key rate unchanged at 1-point-75 percent in its two monetary policy meetings this year and said it will closely monitor the capital market and geopolitical risks when making any changes to its monetary policy.