Japan’s central bank decided on Friday to maintain its ultra-low interest rates policy.
At a two-day policy meeting, Bank of Japan’s (BOJ) Governor Kazuo Ueda and his eight board colleagues made the decision to keep short-term interest rates at minus 0.1 percent and guiding 10-year government bond yields around zero percent within the 0.5 percent cap, according to a statement released by the BOJ.
“The Bank will continue to maintain the stability of financing, mainly of firms, and financial markets, and will not hesitate to take additional easing measures if necessary,” the central bank said.
Meanwhile, the BOJ said the world’s third-largest economy is likely to recover moderately toward around the middle of fiscal 2023, although it is expected to be under downward pressure stemming from past high commodity prices and a slowdown in the pace of recovery in overseas economies.
As for the core consumer price index, the central bank said the year-on-year change in the index “is likely to decelerate toward the middle of fiscal 2023, with a waning of the effects of the pass-through to consumer prices of cost increases led by the rise in import prices.”
Source: Kuwait News Agency