Seoul: Consumer inflation is expected to accelerate due to surging global oil prices amid the ongoing conflict in the Middle East, the Bank of Korea (BOK) said Thursday. BOK Deputy Gov. Yoo Sang-dai made the remarks during a price monitoring meeting earlier in the day, as government data showed that the consumer price index rose 2.2 percent in March from a year earlier, marking the steepest on-year increase since December.

According to Yonhap News Agency, the Deputy Governor highlighted the likelihood of consumer price growth accelerating after April, attributing this to a sharp rise in global oil prices. Yoo expressed concern over the high uncertainty surrounding the trajectory of inflation, particularly due to developments in the Middle East and resulting volatility in oil prices. He assured that the BOK would closely monitor price conditions with heightened vigilance.

The ongoing conflict, which began in late February following U.S.-Israeli strikes on Iran, has led to an increase in global oil prices due to supply disruptions. This situation has rattled financial markets and fueled concerns over inflation and a potential economic slowdown.

The BOK also noted that while prices for agricultural, fisheries, and other food items are expected to remain stable, government measures to curb inflation may help ease upward pressure on costs. It was observed that the rise in consumer prices had only picked up pace slightly from the previous month in March. This was due to declines in agricultural, livestock, and fisheries product prices, along with the government's fuel price cap, which helped offset the impact of the sharp increase in petroleum prices.