The Bank of Japan left its short-term interest rate unchanged at -0.1% during an emergency meeting on May 22nd. Policymakers also maintained to buy ETFs and J-REITs so that their amounts outstanding will rise at an annual pace of JPY 12 trillion and about JPY 180 billion, respectively, but launched a new lending program worth JPY 30 trillion ($279 billion) to support small businesses struggling with the fallout from the COVID-19 pandemic. Under the new program, which will remain in place through the end of March 2021, the BOJ provides 0% loans to commercial banks that extend interest-free lending to clients under the government's virus relief package. These banks will be given 0.1% interest on their current account deposits at the BOJ in proportion to the amounts of interest-free loans they receive from the central bank.
Interest Rate in Japan averaged 2.71 percent from 1972 until 2020, reaching an all time high of 9 percent in December of 1973 and a record low of -0.10 percent in January of 2016. This page provides - Japan Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Japan Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on May of 2020. source: Bank of Japan
Interest Rate in Japan is expected to be -0.10 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Japan to stand at -0.10 in 12 months time. In the long-term, the Japan Interest Rate is projected to trend around -0.10 percent in 2021 and 0.10 percent in 2022, according to our econometric models.