Japan keeps rates at 0.5%

For the second month in a row, the nine-member board unanimously voted to keep rates unchanged. It is the eleventh consecutive rate hold.

The central bank, which was looking to raise rates last year before the credit crunch hit, is now unlikely to hike the benchmark uncollateralised overnight call rate in the near future as the likely slowdown in the United States impacts the Japanese economy.

Colin Asher, a senior