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BOJ Likely to Keep Interest Rates Unchanged

BOJ Likely to Keep Interest Rates Unchanged

   Tokyo, July 25 (Jiji Press)--The Bank of Japan is highly likely to keep interest rates unchanged at a monetary policy meeting next week because the economy's outlook remains uncertain.
   Many officials at the central bank think that it is still necessary to take a wait-and-see approach because economic uncertainty lingers even after Japan and the United States reached a trade agreement.
   BOJ policymakers, who meet on Wednesday and Thursday, are expected to hold their short-term policy rate steady at 0.5 pct, where it has been since January.
   The central bank may raise its inflation forecast for fiscal 2025 from 2.2 pct projected in May, in an economic and price outlook report because of rising food prices.
   The previous May report said that U.S. President Donald Trump's tariffs are expected to put downward pressure on the Japanese economy.

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AFP-JIJI PRESS NEWS JOURNAL


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