A former senior BOJ official said there is a realistic possibility that the benchmark interest rate will be raised at the October policy meeting, and predicted that the probability of postponement until next year is extremely low.
A former BOJ senior official who was responsible for comprehensive policy said the benchmark interest rate could be raised for the second consecutive month at the October policy meeting. His view has attracted market attention as suggesting a shift in the BOJ's current interest-rate policy.
The comments indicated that a rate hike in October is realistically possible, and it was reported that this view is consistent with the prevailing outlook on the timing of a rate hike. At the same time, the view that policy action is unlikely to be postponed beyond next year was emphasized.
The official's comments are seen as indicating that the BOJ's future monetary policy could involve a rate hike in the near term, affecting the direction of interest rates. Market participants continue to focus on the discussions and announcement at the October meeting.
The former official who provided the forecast was described as expressing the view of one expert involved in the BOJ's decision-making process. It was treated as one outlook rather than an official announcement.