BOJ Slams Brakes on Inflation Hopes with 31-Year High Interest Rate Hike

The Bank of Japan (BOJ) has raised interest rates to a 31-year high of 1.25% in a widely expected move to prevent inflation from exceeding its 2% target.

The decision was made by the BOJ's policy board, which voted 7-2 to increase the policy rate from 0.5%. Board members Toichiro Asada and Ayano Sato dissented from the decision.

The move is seen as a response to rising inflation concerns in Japan, with the BOJ aiming to balance economic growth with price stability.