The Korea Financial Investment Association said in a statement that 52.5 percent of respondents expected the seven-day repurchase agreement rate to rise from 2.75 percent at Thursday's central bank meeting.

Last month, the association's survey found a majority of bond traders expected no change in the policy interest rate at the Feb. 11 meeting, although most analysts had predicted an increase.

The Bank of Korea kept the rate unchanged at the February meeting, saying it wanted to avoid a shock to financial markets, and instead would aim to normalise policy in gradual steps.