Bank of Japan meeting —

At its 20 December 2022 meeting, the Bank of Japan held its policy rate at -0.10%.

Decision

hold — -0.10% to -0.10%

Key passages

While significantly increasing the amount of JGB purchases, the Bank will expand the range of 10-year JGB yield fluctuations from the target level: from between around plus and minus 0.25 percent age points to between around plus and minus 0.5 percentage points.

Expands yield band, effectively raising ceiling for 10yr JGB yields, a hawkish tweak.

The employment and income situation has improved moderately on the whole.

Moderate improvement supports gradual wage growth, a key for sustainable inflation.

Meeting documents

Background reading

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