BoJ left monetary policy unchanged as widely expected. Under the yield curve control framework, short-term policy interest rate is held at -0.10%. 10-year JGB yield is kept at around 0%, with bond purchases without upper limit. 0.25% fixed rate purchase operation will continue to be held to cap 10-year JGB yield. The decision was unanimous.
In the new economic projections:
- Fiscal 2022 GDP growth forecast was downgraded from 2.4% to 2.0%.
- Fiscal 2023 GDP growth forecast was downgraded from 2.0% to 1.9%.
- Fiscal 2024 GDP growth forecast was upgraded from 1.3% to 1.5%.
- Fiscal 2022 CPI core forecast was upgraded from 2.3% to 2.9%.
- Fiscal 2023 CPI core forecast was upgraded from 1.4% to 1.6%.
- Fiscal 2024 CPI core forecast was upgraded from 1.3% to 1.6%.
- Fiscal 2022 CPI core-core forecast was upgraded from 1.3% to 1.8%.
- Fiscal 2023 CPI core-core forecast was upgraded from 1.4% to 1.6%.
- Fiscal 2024 CPI core-core forecast was upgraded from 1.5% to 1.6%.
