The Bank of Korea has raised its policy rate twice in a row, but loan rates are moving at different speeds depending on the product. Variable-rate mortgages are typically linked to COFIX, while fixed and mixed-rate mortgages follow market rates such as bank debentures. Existing variable-rate borrowers also see changes only when their repricing cycle arrives. COFIX has risen for four straight months, while longer-term market rates can move earlier on policy expectations.

South Korea\'s financial authorities raised their target for household loan growth this year and NH Nonghyup Bank resumed variable-rate mortgage lending, drawing attention to whether mortgage hurdles will fall across the sector. COFIX rose for a fourth month, increasing borrowers\' interest burdens. Financial support for mid-to-low credit borrowers and small businesses is spreading, while the government and regulators advance plans tied to regional finance hubs and debate over a won stablecoin shifts toward payment, distribution and custody infrastructure.