The Bank of Japan (BoJ) kept its benchmark interest rate unchanged at 0.5% on Tuesday, as widely expected, while also cutting the amount of its Japanese Government Bonds (JGBs) purchases.
The BoJ decided in an 8-1 vote to slash the amount of its monthly JGB purchases by ¥200 billion each quarter "so that it will be about ¥2 trillion in January-March 2027."
The central bank said it will conduct an interim assessment of the plan to cut JGB purchases at its June 2026 monetary policy meeting.