It was found that the future inflation rate and inflation expected by consumers jumped the most in history.
In order to quell this anxiety, the possibility that the Bank of Korea will significantly raise the interest rate by 0.5 percentage points at a time after a fortnight is increasing.
Reporter Kim Jung-woo reports.
It is a daily routine for self-employed people to fix price tags.
This is because the cost of materials rises day by day.
[Kim Ki-sook/Market Merchant: It's really hard, it's really hard.
Because this is a living organism, it is a bit difficult because it went up 200 won and then went up 300 won and then 500 won as it is today.]
As high prices continued for several months, the expected inflation rose to 3.9% this month, the highest in 10 years. .
Consumers expect prices to rise by nearly 4% over the next year.
The rise is even more problematic, so it recorded the highest rate of increase ever since statistics began to be published in 2008.
When expected inflation rises, individuals ask for a wage increase to maintain the standard of living, and companies will raise product prices because production costs are higher.
The Bank of Korea also predicts that this high inflation will continue until next year.
[Lee Seung-heon/Vice Governor of the Bank of Korea: There are a lot of forecasts right now about where the top is, but there are many predictions that the forecast period will keep pushing back the peak.
Even if it falls, it won't fall much.]
So, the Bank of Korea is preparing for an economic downturn, and it is highly likely that the base rate will be raised to 0.5% point at once next month.
[Seo Ji-yong/Professor of Business Administration, Sangmyung University: You can't catch two rabbits.
It is not easy to catch inflation and drive economic growth, but it seems to be the most important thing to start with price stability first.]
In particular, there are many experts who believe that a big step will become a reality if the consumer price index for this month is actually around 6%. .
(Video editing: Jo Moo-hwan, VJ: Jeong Young-sam)Keywords: