BoJ holds rates as tax hike looms
Policy-makers expect core inflation to remain around 1.3% despite drop in demand
The Bank of Japan (BoJ) passed up the opportunity to implement additional easing today, as the policy board maintained the status quo in its last meeting before the government hikes the consumption tax rate on April 1.
The board said it would continue to increase the monetary base by ¥60–70 trillion ($580–680 billion) each year, and that it would pursue its quantitative and qualitative easing (QQE) programme "as long as it is necessary" to increase annual inflation to 2% and keep it there.
It
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