BOJ keeps interest rates steady, signals further rate hikes
The Bank of Japan announced it will keep interest rates unchanged despite a heightened inflation outlook. In an 8-1 decision, the central bank established a policy target of 1.25%. Board member Hajime Takata voiced opposition, recommending a 1.5% rate instead. Media attention is set to turn to Governor Kazuo Ueda, who is slated to discuss the implications of this decision later today, emphasizing inflation concerns.
The Bank of Japan kept interest rates steady on Friday, but revised up its inflation forecast and stressed anew its readiness to continue pushing up borrowing costs to forestall mounting inflation risks.At a two-day meeting that ended on Friday, the central bank decided to maintain its short-term policy target at 1.25% by an 8-1 vote. Board member Hajime Takata dissented to the decision, instead calling for a 1.5% hike.Governor Kazuo Ueda will hold a news conference at 3:30 p.m. (0630 GMT) to explain the policy decision.(You can now subscribe to our ETMarkets WhatsApp channel)
Economic Times
