Bank of Japan Deputy Governor Himino Ryozo (氷見野良三) said that while current financial conditions remain accommodative, the Bank intends to continue raising its policy rate and adjust the degree of monetary easing. The market assigns a high probability to a rate hike at the September meeting.
In a speech in Saitama City, Bank of Japan Deputy Governor Himino Ryozo (氷見野良三) said that current financial conditions remain accommodative and emphasized that the Bank intends to continue raising its policy rate while adjusting the degree of monetary easing. He also said that it is necessary to remain more alert than before to the risk of prices rising more than anticipated.
The market is closely watching the next Monetary Policy Meeting, to be held on 17 and 18 September, and expectations are growing that the Bank of Japan will decide to raise rates at the meeting.
At its June meeting, the Bank of Japan raised its policy rate to approximately 1.0%, the highest level in 31 years. If it raises rates again at the September meeting, approximately 3 months later, the pace of rate hikes is expected to be faster than before.