BOJ expected to hike rates by 25 basis points to fresh three-decade high: CNBC survey
The Bank of Japan is expected to raise interest rates by 25 basis points, which would bring rates to a fresh three-decade high. A CNBC survey indicates this specific move, while Reuters reports the hike would reach a 31-year peak. The central bank faces mounting pressure to address inflation risks as the architects of Japan's previous easy-money policies shift their perspectives. This move would represent the fastest hike of the current cycle.
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- ✓ The Bank of Japan is expected to raise interest rates to a three-decade high.
- ✓ Inflation risks are influencing the Bank of Japan's decision to raise rates.
What changed
A CNBC survey specifies a projected 25 basis point rate increase.
Live updates
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Bank of Japan Expected to Hike Rates to 31-Year High
The Bank of Japan is expected to raise interest rates by 25 basis points, which would bring rates to a fresh three-decade high. A CNBC survey indicates this specific move, while Reuters reports the hike would reach a 31-year peak. The central bank faces mounting pressure to address inflation risks as the architects of Japan's previous easy-money policies shift their perspectives. This move would represent the fastest hike of the current cycle.
Why it matters
Japan has long maintained an easy-money policy to stimulate growth. Rising inflation risks now force the central bank to test the resilience of the country's economic recovery.
What is confirmed
- The Bank of Japan is expected to raise interest rates to a three-decade high.
- Inflation risks are influencing the Bank of Japan's decision to raise rates.
Still unconfirmed
- The rate hike will reach a 31-year high.
What to watch next
- Official Bank of Japan interest rate announcement
- Upcoming Federal Reserve monetary policy decision
confidence 80%Sources used for this update (6)
- CNBC — BOJ expected to hike rates by 25 basis points to fresh three-decade high: CNBC survey
- The New York Times — Architects of Japan’s Easy-Money Policies Are Changing Their Minds
- WSJ — Bank of Japan Set to Deliver Fastest Hike of Cycle as Pressure Mounts
- Bloomberg.com — Japan’s Economic Comeback Faces Hardest BOJ Test in a Generation
- Reuters — BOJ set to raise interest rates to 31-year high as inflation risks loom
- finance.yahoo.com — Fed and BOJ Decisions Put Rate Gaps in Focus for Bitcoin
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