Bank of Japan Keeps Balance Rate at -0.1%

The transcript discusses the Bank of Japan's (BOJ) monetary policy, focusing on its commitment to continue easing until a stable 2% inflation is achieved. The BOJ maintains its policy balance rate at -0.1% and its monetary base target at 80 trillion yen. Economists largely expected this decision, with many forecasting no change in policy until later in the year. The BOJ is assessing the impact of its negative rate policy, which began in February. The board voted 8 to 1 to keep the monetary base plan unchanged, citing unstable global financial markets and weakened inflationary expectations. The BOJ aims to reach a 2% CPI target, but the weakening inflationary trend poses challenges.

What is the current policy balance rate maintained by the BoJ?

• 0.1%

• -1%

• -0.1%

• 1%

By when do economists expect a potential change in BoJ's policy?

• End of May

• End of September

• End of March

• End of July

What is the main reason the BoJ governor wants more time before changing the policy?

• To assess the impact of the negative rate policy

• To wait for global market stability

• To increase the monetary base

• To achieve a 3% inflation target

What was the vote count by the BoJ board on keeping the monetary base plan unchanged?

• 6 to 3

• 7 to 2

• 8 to 1

• 9 to 0

What is the BoJ's target for the Consumer Price Index (CPI)?

• 1%

• 3%

• 2%

• 4%