SEOUL, April 2 (Reuters) – South Korea’s consumer inflation quickened less than expected in March, data showed on Thursday, amid inflation worries over a surge in oil prices triggered by the Iran war.
Asia’s fourth-largest economy, which is also the world’s fourth-largest importer of oil, introduced last month nationwide fuel prices caps for the first time in nearly 30 years.
The consumer price index rose 2.2% from a year earlier, higher than the 2.0% rise in the previous month but lower than a median 2.4% increase forecast in a Reuters poll of economists.
On a monthly basis, the index rose 0.3% in March, according to the Ministry of Data and Statistics, after rising 0.3% in February, also weaker than a forecast of 0.6%.
Petroleum products jumped 10.4% over the month, but agricultural products fell 3.0%.
Annual core inflation, excluding volatile food and energy prices, was at 2.2% in March, lower than 2.3% in February.
The data comes a week before the Bank of Korea meets for the next policy meeting on April 10. In February, just days before the Iran war broke out, the central bank held interest rates steady and signalled no change until August.
(Reporting by Jihoon Lee; Editing by Chris Reese and Stephen Coates)
