● ImportantEconomy1 outlet covering thisCalibrating

BOJ holds rates at 1%, warns of underlying inflation exceeding 2% target

First publishedJul 31, 03:33 UTC
Last updatedJul 31, 06:08 UTC · 2m ago
11 outletCNBC Top News
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Answer

The decision comes as speculation continues to swirl around whether the Bank of Japan will hike rates at a faster pace.

Reported by 1 outlet CNBC Top News. See all sources ↓

The Bank of Japan kept its key interest rate at 1 percent. It said that underlying inflation is still above its 2 percent target. The bank warned that price pressures remain strong. Some analysts think the BOJ may raise rates faster later.

Why it matters

Higher interest rates in Japan can affect global borrowing costs and currency values. It also shows how major central banks are responding to ongoing inflation.

In brief
What did the Bank of Japan decide about interest rates?
It left the rate unchanged at 1 percent.
What does the BOJ say about inflation?
It says underlying inflation is still above its 2 percent target.
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    BOJ holds rates at 1%, warns of underlying inflation exceeding 2% target

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