BOK to Pull Call Interest Rate Down

The Bank of Korea (BOK) intends to pull down the call interest rate as a way to boost the economy.
The BOK announced on September 30 that it would lower the interest rates of its Repurchasible Bond (RP) and Bonds for money stabilization from the current annual 8% to 7% from today and accordingly induce the call interest rate to 7%.
To do so, BOK plans to increase the money supply afterwards.
BOK said that when the current financial restructuring is firstly completed, it would accelerate pulling down interest rates.
BOK added that as the Federal Reserve Board (FRB) of the United States lowered its federal funds rate by a quarter of a point on the previous day, it improved the situation so that the BOK could lower interest rates.
BOK analysis contends that if call interest rates could lead to the fall of long-term interest rates including debentures' interest rates and banks' money, then it would mitigate companies' debt burden and contribute to the recovery of consumer confidence.