Bank of Korea Gov. Lee Ju-yeol on Tuesday projected the South Korean economy will improve while undergoing short-term uncertainties stemming from global economic circumstances.

"The economy will improve going forward, but there are uncertainties in the short term regarding global oil prices and the Fed's rate policy direction," Lee said in a regular meeting with local economic experts.

Lee, meanwhile, cited Federal Reserve Chair Janet Yellen's remarks on the need to rely on economic data for policy decisions, implying that the BOK's policy stance will take account of economic indicators.

The remarks come after the central bank unexpectedly lowered the base rate to a record low of 1.75 percent in its March 12 meeting, joining in a global wave of monetary easing aimed at shoring up sluggish growth.

Economists and analysts hadn't projected a rate cut until April when the BOK is scheduled to release its latest economic updates.

In January's economic revision, the central bank lowered its growth forecast for this year to 3.4 percent from 3.8 percent, while slashing its inflation outlook to 1.9 percent from 2.4 percent. The next announcement is due April 9. (Yonhap)