Bank of Korea data released Tuesday showed banks' new-loan average rate rose 12
bps month-on-month to 4.31% in June as market rates climbed. Corporate lending
costs increased 14 bps to 4.27%; new household loan rates rose 4 bps to 4.50%.
Household housing mortgage rates averaged 4.36% in June, up 4 bps and the
highest since November 2023. Non-mortgage household loan rates jumped 23 bps to
5.72%. The Bank of Korea said retail lending rates have been rising in recent
months amid higher market rates; the central bank delivered its first rate
increase in 3.5 years earlier this month.
