Financial News: Bank Of Japan Raises Policy Rate By 25

Bank Of Japan Raises Policy Rate By 25 Bps

12/18/2025 - 23:12:00 (RTTNews)

(RTTNews) - The Bank of Japan raised its benchmark rate by a quarter-point on Thursday as inflation remains stubbornly above the target.

The policy board decided to hike the uncollateralized overnight call rate to "around 0.75 percent" from "around 0.5 percent."

Previously, the BoJ had lifted the benchmark rate by 25 basis points in January.

Real interest rates are expected to remain significantly negative after the change in the policy rate, and accommodative financial conditions will continue to firmly support economic activity, the bank said.

If economic activity and prices develop as estimated in October, the BoJ will continue to raise the policy rate and adjust the degree of monetary accommodation, the bank said.

The possibility of CPI inflation to be at a level that is generally consistent with the price stability target of 2 percent in the second half of the projection period of the October 2025 Outlook report has been rising, the board noted.

For comments and feedback: contact editorial@rttnews.com

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS

Norway Industrial Output Falls 2.2% (18 min(s), 13 sec(s) ago)
(RTTNews) - Norway's industrial production declined for the second straight month in November, ...Full Story»

Sweden Inflation Remains Stable At 0.3% (36 min(s), 13 sec(s) ago)
(RTTNews) - Sweden's consumer price inflation unexpectedly held steady in December after easin ...Full Story»

French Trade Gap Widens In November (01 hr(s), 17 min(s), 13 sec(s) ago)
(RTTNews) - France's foreign trade deficit increased in November as imports grew faster than e ...Full Story»

Eurozone Unemployment Rate Drops In November (01 hr(s), 31 min(s), 13 sec(s) ago)
(RTTNews) - The euro area unemployment rate dropped marginally in November, data from Eurostat sho ...Full Story»

UK Halifax House Price Growth Slows In December (01 hr(s), 45 min(s), 13 sec(s) ago)
(RTTNews) - UK house prices logged a slower growth in December as uncertainty weighed on housing m ...Full Story»

Italy Unemployment Rate Falls To 5.7% (01 hr(s), 49 min(s), 13 sec(s) ago)
(RTTNews) - Italy's unemployment rate decreased unexpectedly in November, preliminary figures ...Full Story»

Swiss Consumer Prices Rise Unexpectedly In December (02 hr(s), 19 min(s), 13 sec(s) ago)
(RTTNews) - Switzerland's consumer prices increased slightly at the end of the year, the Feder ...Full Story»

German Factory Orders Rise Most In 11 Months (03 hr(s), 51 min(s), 13 sec(s) ago)
(RTTNews) - Germany's factory orders increased unexpectedly in November and at the quickest pa ...Full Story»