2022.12.2003:13:00UTC+00Bank Of Japan Expands Yield Target Band

The Bank of Japan left its key interest rate unchanged and expanded its 10-year Japanese government bond yield target band on Tuesday.

The policy board of the BoJ unanimously decided to maintain a negative interest rate of -0.1 percent on current accounts that financial institutions maintain at the central bank.

The bank will also continue to purchase a necessary amount of JGBs without setting an upper limit so that 10-year JGB yields will remain at around zero percent.

However, they decided to expand the range of 10-year JGB yield fluctuations to around plus and minus 0.5 percentage points from around plus and minus 0.25 percentage points.

The bank said it is willing to take additional easing measures, if needed. The bank also expects short and long-term policy interest rates to remain at their current or lower levels.