Refer Report
The Bank of Japan, the central bank of Japan, froze its benchmark interest rate for the second consecutive time on the 31st, as the market expected.
The Bank of Japan announced at the financial policy decision meeting held for two days until this day that it would not adjust the short-term policy interest rate, which is the base interest rate, and decided to maintain it at 0.25%.
Previously, the Bank of Japan ended its negative interest rate policy by raising the base interest rate for the first time in 17 years at the financial policy decision meeting in March. Afterwards, at the July meeting, the interest rate was raised from 0-0.1% to around 0.25%. Since then, interest rates have been frozen for the second consecutive time this month, following last month.
Kyodo News analyzed, “It appears that there is no need to rush to raise interest rates due to strong uncertainty in the financial market due to the U.S. presidential election and political chaos in Japan.”
Earlier, Bank of Japan Governor Kazuo Ueda was asked about an interest rate increase at a press conference on the 24th during his visit to the United States to attend a meeting of finance ministers and central bank governors of the G20 major economies. “We will see how it will affect prices in Japan,” he said.
Source: Korean