Kazuo Ueda

Stories

Tokyo inflation jumps to 2.7%, driving case for another BOJ hike

Said on October 30 that underlying inflation was generally consistent with the BOJ's 2% target, the first such assessment since 2013

The Bank of Japan held its policy rate at 1.25% on October 30 and said for the first time since adopting a 2% inflation target in 2013 that underlying inflation was generally consistent with it. The board voted 8-1, with Hajime Takata dissenting in favor of a rise to 1.5%.

Updated 6 days ago

Japan household spending falls for ninth straight month

Money Moves

Said on October 30 that underlying inflation is generally consistent with the 2% target but not yet achieved sustainably; the BOJ held its policy rate at 1.25%.

Japan's households cut spending for a ninth straight month in August, with inflation-adjusted outlays down 3.1% from a year earlier. On October 30, the Bank of Japan held its policy rate at 1.25% and said underlying inflation is generally consistent with its 2% target.

Updated Nov 2

Bank of Japan raises rates to 31-year high

Rule Changes

Held rates at 1.25% on October 30 and said the 2% inflation goal is not yet sustainably achieved

The Bank of Japan held its benchmark rate at 1.25% on October 30, by an 8-1 vote. Board member Hajime Takata dissented, wanting a hike to 1.5%.

Updated Oct 30

Bank of Japan's market operations track the unwinding of its easing era

Money Moves

As of August 2026: Leading the normalization of Japanese monetary policy

Every business day the Bank of Japan releases a two-page table showing how it managed the roughly ¥550 trillion that Japanese banks hold on deposit at the central bank. The August 24, 2026 statement is one entry in that record — a routine liquidity operation, unremarkable on its own.

Updated Aug 24

BOJ pushes rates to 0.75%: Japan’s “free money” era starts getting expensive

Rule Changes

As of May 2026: Doubling down on ‘still-accommodative’ messaging after the hike, while emphasizing data-dependence and readiness to smooth disorderly yield moves

Japan's shift away from ultra-easy money is now colliding with the currency market. After raising rates to 0.75% on December 19, 2025, Governor Kazuo Ueda stressed real rates remain 'very low' or negative and the BOJ will pace tightening while responding flexibly to exceptional long-term yield moves.

Updated May 15

Notable Quotes

It is becoming more important to anchor underlying inflation around our 2 per cent target.

from Tokyo inflation jumps to 2.7%, driving case for another BOJ hike · Updated 6 days ago

That depends on how price conditions develop. There could be various possibilities. We shouldn't rule anything out.—Reuters, Sept 18

from Bank of Japan raises rates to 31-year high · Updated Oct 30

We're at a phase where we need to look at various data carefully. But that doesn't mean we can move slowly. We will analyse data carefully and take timely action.—Reuters, Sept 18

from Bank of Japan raises rates to 31-year high · Updated Oct 30

“Real interest rates are expected to remain significantly negative.” — BOJ decision statement (Dec. 19, 2025)

from BOJ pushes rates to 0.75%: Japan’s “free money” era starts getting expensive · Updated May 15

“Real interest rates are very low.” — Ueda at post-meeting press conference (Dec. 19, 2025)

from BOJ pushes rates to 0.75%: Japan’s “free money” era starts getting expensive · Updated May 15

If long-term interest rates make exceptional moves, the BOJ will respond with flexible market operations. — Ueda (Dec. 19, 2025)

from BOJ pushes rates to 0.75%: Japan’s “free money” era starts getting expensive · Updated May 15