Bank of Japan Raises Interest Rates to Highest in 30 Years

The Japanese flag flutters over the Bank of Japan (BoJ) head office building in Tokyo on April 27, 2022. Kazuhiro Nogi/AFP via Getty ImagesJapan’s central bank raised its benchmark interest rate to the highest level in three decades, taking another step away from its long-standing ultra-loose monetary policy as officials seek to rein in persistent inflation pressures driven by rising wages and prices.At a two-day monetary policy meeting on Dec. 18–19, the Bank of Japan (BOJ) voted unanimously to raise its short-term policy rate by 25 basis points, bringing it to around 0.75 percent. The move lifts borrowing costs to their highest level since September 1995.