Bank of Japan Holds Steady Amid Global Risks

The Bank of Japan maintained its short-term interest rates at 0.5% due to concerns over global risks, particularly from elevated U.S. tariffs. The decision was unanimous among board members. BOJ Governor Kazuo Ueda will elaborate on this decision in a scheduled press conference.

The Bank of Japan (BOJ) has decided to maintain its current interest rates, opting for a cautious approach amid rising global economic challenges. The unanimous decision keeps the short-term policy rate at 0.5%, indicating the board's preference for stability as external pressures mount.

Driven by concerns over potential impacts from heightened U.S. tariffs, this policy stance underscores the central bank's sensitivity to Japan's fragile economic recovery. The BOJ's move aligns with expectations, reflecting their strategy to navigate the turbulent international economic landscape.

BOJ Governor Kazuo Ueda will address the decision's implications in a press conference scheduled for 3:30 p.m. (0630 GMT). This briefing is anticipated to provide further insights into the bank's evaluation of global factors affecting Japan's economy.

(With inputs from agencies.)