BOJ Faces Hike Dilemma as Economists Predict Rate Spike

The Bank of Japan (BOJ) may soon raise its policy rate again as economists predict a 57% chance of a quarter-point hike in September, up from just 5% last month.

This increase would bring the interest rate to 1.25%, and some analysts expect another hike to 1.50% by October or December.

Looking ahead, about 65% of economists surveyed believe the policy rate will reach at least 1.50% by March 2027, a quarter earlier than previously projected.