The Bank of Korea's Monetary Policy Board is set to decide on the base interest rate today (July 16).

The general consensus in the market is that a rate hike is highly likely, given factors such as rising international oil prices and inflation caused by the war between the United States and Iran, as well as the sharp surge in exchange rates and the increase in household debt.

If a rate hike is implemented, it will be the first increase in three years and six months since January 2023.

Some experts are also raising the possibility of additional rate hikes within the year following this increase.

The current base interest rate is 2.5% per annum, which has been held steady for eight consecutive meetings since July of last year.