https://www.live-feeds.com/feed/japan-s-central-bank-raises-benchmark-interest-rate-to-1-25-the-highest-in-31-yearsContinuously updated, source-cited coverage. https://www.live-feeds.com/feed/japan-s-central-bank-raises-benchmark-interest-rate-to-1-25-the-highest-in-31-yearshttps://www.live-feeds.com/feed/japan-s-central-bank-raises-benchmark-interest-rate-to-1-25-the-highest-in-31-years#u77570Sun, 20 Sep 2026 15:51:11 +0000The Bank of Japan raised its benchmark interest rate to 1.25% on September 18, 2026, marking the highest level in 31 years. The central bank implemented the hike to curb rising prices and address inflation concerns. Despite the move, the Japanese yen dropped against the US dollar and hit a two-week low, as some market reactions suggested the hike underwhelmed investors. The decision reflects an acceleration in monetary tightening to keep pace with other global hiking partners.Why it mattersJapan has struggled with persistent cost-of-living pressures, including high food prices that threaten to