S.Korea's c.bank cuts interest rate to record low of 1.25 pct

SEOUL, Oct. 16 (Xinhua) -- South Korea's central bank on Wednesday cut its policy rate to a record low, after lowering it by 25 basis points three months earlier.

Bank of Korea (BOK) Governor Lee Ju-yeol and six other policy board members decided to lower the benchmark 7-day repurchase rate from 1.50 percent to an all-time low of 1.25 percent.

The central bankers slashed the target rate by a quarter percentage point in July.

The rate cut was in line with market expectations. According to a Korea Financial Investment Association (KFIA) poll of 200 fixed-income experts, 65 percent predicted a more accommodative monetary policy.