BOJ Keeps Monetary Policy Unchanged

   Tokyo, March 19 (Jiji Press)--The Bank of Japan decided to keep its monetary policy unchanged at a two-day Policy Board meeting that ended Wednesday.
   The BOJ's nine board members unanimously voted to maintain the policy of guiding the unsecured overnight call rate, Japan's benchmark short-term interbank lending rate, to around 0.5 pct. The policy rate was raised from around 0.25 pct in a decision made in January.
   While sustained wage growth momentum in Japan is seen providing a tailwind for further interest rate hikes by the BOJ, the central bank apparently thinks it needs to carefully examine the impacts of U.S. President Donald Trump's high tariffs policy, which has rapidly increased uncertainty in the global economy, BOJ watchers said.
   In a statement issued after the latest policy-setting meeting, the BOJ maintained its assessment that the Japanese economy has "recovered moderately, although some weakness has been seen in part."
   Looking ahead, the central bank said, "There remain high uncertainties surrounding Japan's economic activity and prices, including the evolving situation regarding trade and other policies in each jurisdiction."

(2025/03/19-12:07)

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