Bank of Japan raises rates to 31-year high of 1.25%

TOKYO, 18th September, 2026 (WAM) -- The Bank of Japan raised interest rates to a 31-year high of 1.25 percent on Friday, seeking to forestall the risk of inflation overshooting its 2 percent target.

At a two-day monetary policy meeting that ended on Friday, the BOJ's board voted 7-2 to raise its policy rate from 1 percent to 1.25 percent.