The Bank of Japan has raised its policy rate to its highest level in 30 years, citing an increased likelihood of achieving its price stability target and signalling a readiness for further increases if the economy develops as it expects.

The BoJ said in a statement today (December 19) that its policy board had decided unanimously to raise the benchmark policy rate by 25 basis points to 0.75%. “Real interest rates are expected to remain significantly negative, and accommodative financial