Japan keeps interest rate ultra-low

TOKYO - Agence France-Presse

The Bank of Japan on June 15 kept its key interest rate unchanged at between zero and 0.1 percent, and said it would also leave a 70 trillion yen ($885 billion) asset purchase program in place.

After a two-day policy board meeting the nation’s central bank said the vote on keeping the interest rate unchanged was unanimous. “The bank recognizes that Japan’s economy faces the critical challenge of overcoming deflation and returning to a sustainable growth path with price stability,” it said in a statement, echoing previous comments on the economy.

“In global financial markets, some nervousness continues to be seen, mainly due to concerns about the European debt problem. Particular attention should therefore be given to developments in these markets for the time being.” The decision to keep the rate unchanged was likely to disappoint some Japanese lawmakers who have called on the BoJ to do more.