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

2025.12.11 14:17:29

Dec 11 — A Reuters survey conducted Dec 2-9 shows the vast majority of economists expect the Bank of Japan (BOJ) to hike interest rates by 25 basis points to 0.75% at its December meeting, and to push lending costs to at least 1% by end-September next year. Earlier sources noted the BOJ is likely to deliver its first rate hike since January at the December gathering. Given inflation risks and the weak yen, Prime Minister Taro Kono’s government is expected to tolerate the move. Ninety percent of economists (63 out of 70) expect the BOJ to lift its short-term interest rate from 0.50% to 0.75% at next week’s meeting — a sharp jump from 53% in last month’s survey. Slightly more than two-thirds of respondents (37 out of 54) said rates will hit at least 1.00% by end-September next year. (Source: Golden Finance)
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