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Asian Economic News

BoJ Maintains Monetary Stimulus

By RTTNews Staff Writer   ✉   | Published:   | Follow Us On Google News
rttnewslogo20mar2024

The Bank of Japan kept its monetary stimulus unchanged as widely expected on Tuesday.

Governor Haruhiko Kuroda and his board members decided by an 7-2 majority vote to hold its target of raising the amount of outstanding JGB holdings at an annual pace of about JPY 80 trillion.

The bank will purchase government bonds so that the yield of 10-year JGBs will remain at around zero percent.

The board also decided to maintain the -0.1 percent interest rate on current accounts that financial institutions maintain at the bank.

The bank said the Japan's economy is likely to be on a moderate expanding trend.

Annual inflation is likely to be slightly negative or about 0 percent for the time being, due to the effects of the decline in energy prices, and, as the underlying trend in inflation steadily rises, accelerate toward 2 percent, BoJ said.

The bank will make policy adjustments, taking account of developments in economic activity and prices as well as financial conditions, with a view to maintaining the momentum toward achieving price stability target.

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