BOJ Set for Quick Rate Hike to 1.25%

The Bank of Japan is poised to increase its key interest rate to 1.25% next week, as it attempts to combat inflationary pressure stemming from rising crude oil prices and a depreciating yen.

This rate hike will mark the shortest span of months in the current rate hiking phase that started in March 2024, with the rate last raised in June.

The move is seen as an effort by the central bank to contain inflationary pressure amid these economic headwinds.