TOKYO, Sept 10 : The Bank of Japan will hike interest rates to 1.25 per cent on September 18 and then to 1.75 per cent in the second quarter of 2027 — earlier than previously thought — a Reuters poll showed, amid persistent concerns over broadening price pressures and yen weakness.More than 80 per cent of respondents said the joint U.S.-Japan yen-buying intervention to stem the currency's slide to 40-year lows and remarks by Treasury Secretary Scott Bessent on BOJ policy had "significantly" or "somewhat" lowered political hurdles for rate hikes, underscoring Washington's growing sway over Japanese monetary policy and raising questions about the bank's independence.Bessent voiced strong support for "decisive" monetary steps to combat yen weakness in a meeting with BOJ Governor Kazuo Ueda this month during a gathering of G20 finance ministers and central bank governors. He also urged the BOJ to anchor inflation expectations and avoid excessive yen volatility through sound monetary policy."Until now, it would be hard for the BOJ to explain any adjustment to the degree of monetary easing while the (Japanese) government maintained an accommodative fiscal stance," said Yusuke Koshiyama, senior Japan economist at Mizuho Research Institute.
BOJ to raise rates to 1.25% this month, reach 1.75% faster than expected: Reuters poll
TOKYO, Sept 10 : The Bank of Japan will hike interest rates to 1.25 per cent on September 18 and then to 1.75 per cent in the second quarter of 2027 — earlier than previously thought — a Reuters poll showed, amid persistent concerns over broadening price pressures and yen weakness.More than 80 per cent of
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