Tokyo: The Bank of Japan (BoJ) raised interest rates to a more than 30-year high on Friday and said it would lift them further to counter inflation fuelled by surging energy prices and a weak yen.
The 25-basis-point hike to 1.25% was announced on September 18, 2026. The decision was carried by a 7-2 majority vote.
Pressure has increased on officials to further tighten monetary policy as a spike in oil prices caused by the West Asia crisis pushes up inflation.
The move was expected by markets following recent tightening by the European Central Bank and the U.S. Federal Reserve.
