The Bank of Japan (BoJ) kept its benchmark interest rate steady at 0.25% on Thursday, as expected, with the yen weakening past the 155 level against the dollar after the rate decision.
The BoJ said in a statement that it decided to keep the rate unchanged in an 8-1 vote. Board member Naoki Tamura disagreed with the call and proposed a 25-basis-points hike instead, but was voted down. The central bank added that "there remain high uncertainties surrounding Japan’s economic activity and prices" and that "under these circumstances, it is necessary to pay due attention to developments in financial and foreign exchange markets and their impact on Japan’s economic activity and prices."
The dollar traded 0.48% higher against the yen, going for ¥155.4160 at 4:21 am CET.
