The Bank of Japan decided to maintain the current large-scale monetary easing measures to support the economy at the monetary policy meeting held until 22nd. On the other hand, the United States Fed United = Federal Reserve Board announced that it had decided to raise interest rates significantly before dawn on 22 Japan time, and as the yen weakens, the policy difference between Japan and the United States stand out even more.
The Bank of Japan will hold a meeting to decide monetary policy for two days until the 22nd, make the short-term interest rate negative and buy government bonds to keep the long-term interest rate around 0%, decided unanimously.
With the depreciation of the yen increasing import costs, the consumer price index for August and last month rose 2.8% from the same month last year, excluding perishables, which fluctuate wildly , already exceeded.
However, the Bank of Japan’s goal of stable price increases accompanied by wage increases has yet to be realized, and the Japanese economy is recovering from the slump caused by the novel coronavirus, and there is a need to support the economy, once again demonstrated its policy of persistent monetary easing.
In response to this, the FRB in the United States announced in the early hours of 22 Japan time that it had decided to raise interest rates significantly in order to curb inflation.
Bank of Japan Financing support measures for small and medium-sized enterprises “phasing out”
The Bank of Japan will extend the support measures for up to six months and end them by the end of March next year, and will continue to expand the current fund supply mechanism to meet the needs. large-scale financing of small and medium-sized enterprises. companies.