Reuters Poll: Bank of Japan Expected to Hike Rates by 25 Basis Points in December, Interest Rate to Reach 1% by Next September

BlockBeats News, December 11, A Reuters survey conducted from December 2 to 9 showed that the vast majority of economists expect the Bank of Japan to raise interest rates by 25 basis points to 0.75% at the December meeting and to raise the lending cost to at least 1% by the end of September next year.

Earlier, sources said that the Bank of Japan is expected to implement its first rate hike since January at the December meeting. Considering inflation risks and the weak yen, the government led by Japanese Prime Minister Taro Kono is expected to tolerate this decision.

90% of economists (63 of 70) expect the Bank of Japan to raise the short-term interest rate from 0.50% to 0.75% at next week's meeting, a significant increase from 53% in last month's survey. Slightly over two-thirds of respondents (37 of 54) stated that by the end of September next year, the interest rate will reach at least 1.00%. (Golden Finance)