AKP Phnom Penh, 13 May, 2026--
South Korea's money supply grew for a fifth successive month despite lower expectations for additional policy rate cuts, central bank data showed Wednesday.

The seasonally-adjusted M2, called broad money, rose 0.4 percent from a month earlier to 4,132.1 trillion won (about 2.77 trillion U.S. dollars) in March, keeping an upward trend since November 2025, according to the Bank of Korea (BOK).

Expectations weakened for interest rate cuts on the back of a boom in semiconductor exports and higher inflationary pressure, caused by the Middle East tensions.

The BOK left its benchmark interest rate unchanged at 2.50 percent after lowering it by 25 basis points in February and May 2025.

The M1, or narrow money, expanded 0.7 percent in March on a monthly basis, faster than an increase of 0.1 percent in the previous month.

The M1 refers to currency in circulation, demand deposits and transferable savings deposits equivalent to cash. The M2 adds money market funds, time deposits and financial products that mature in less than two years.

AKP-Xinhua