- Underlying inflation rate remains below target, therefore we are maintaining accomodative monetary policy
- BoJ is pursuing an interest rate level that ensures a smooth landing
- Maintaining monetary policy too loose for too long carries risks from achieving the 2% target in a stable manner
- Full article here
As a reminder, the BoJ left interest rates unchanged as expected at the last meeting with again two dissenters voting for a hike. There were no surprises but Governor Ueda focusing on spring wage negotiations suggested that the next hike could be delayed to January or even March 2026.
