The Bank of Japan will raise interest rates again by October and may hike at a faster pace than expected with yen weakness among factors that may come into play, according to a Bloomberg survey of economists.
Following the central bank’s landmark decision to scrap its massive easing program this week, 62% of 47 polled analysts expect the BOJ to increase rates again by October, but their opinions diverge on the specific timing of the next move.
Some 23% said the hike will come in July, while 26% of respondents say the bank will raise the policy rate in October. Another 11% pinpoint September. Polled economists see the rate — now set with an upper limit of around 0.1% — rising to 0.25% by the end of the year, according to their median estimate.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.