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Japan Interest Rate

The Bank of Japan maintained its benchmark short-term interest rate at 0.5% in September 2025. This rate is consistent with the 0.5% rate in July 2025. This decision reflects a cautious monetary policy stance amid moderate economic recovery and persistent inflation which hovered between 2.5% and 3.0%. The Bank's decision to hold rates steady was supported by a 7-2 vote, though two members dissented, advocating for a hike to 0.75%. Factors influencing this stability include concerns over the impact of U.S. tariffs on the economy and political uncertainty. The central bank also announced plans to begin selling its holdings of ETFs and J-REITs, signaling a step toward policy normalization. Underlying inflation is approaching the 2% target but the Bank awaits further data to confirm sustainable price stability before altering its rate policy. Japan's record low interest rate was -0.1% in January 2016 and record high was 6% in August 1990.

Historical Data (1990-2025)

(in %)
Date Interest Rate
Sep 19, 2025 0.5%
Jul 31, 2025 0.5%
Jun 17, 2025 0.5%
Apr 30, 2025 0.5%
Mar 19, 2025 0.5%
Jan 24, 2025 0.5%
Dec 19, 2024 0.25%
Oct 31, 2024 0.25%
Sep 20, 2024 0.25%
Jul 31, 2024 0.25%
Jun 14, 2024 0.1%
Apr 26, 2024 0.1%
Mar 19, 2024 0.1%
Jan 23, 2024 -0.1%
Dec 19, 2023 -0.1%
Oct 31, 2023 -0.1%
Sep 22, 2023 -0.1%
Jul 28, 2023 -0.1%
Jun 16, 2023 -0.1%
Apr 28, 2023 -0.1%
Mar 10, 2023 -0.1%
Jan 18, 2023 -0.1%
Nov 30, 2022 -0.1%
Oct 28, 2022 -0.1%
Sep 22, 2022 -0.1%
Jul 21, 2022 -0.1%
Jun 17, 2022 -0.1%
Apr 28, 2022 -0.1%
Mar 18, 2022 -0.1%
Jan 18, 2022 -0.1%
Dec 17, 2021 -0.1%
Oct 28, 2021 -0.1%
Sep 22, 2021 -0.1%
Jul 16, 2021 -0.1%
May 31, 2021 -0.1%
Apr 27, 2021 -0.1%
Mar 19, 2021 -0.1%
Jan 21, 2021 -0.1%
Dec 18, 2020 -0.1%
Oct 29, 2020 -0.1%
Sep 17, 2020 -0.1%
Jul 15, 2020 -0.1%
May 22, 2020 -0.1%
Apr 27, 2020 -0.1%
Mar 16, 2020 -0.1%
Jan 21, 2020 -0.1%
Dec 19, 2019 -0.1%
Oct 31, 2019 -0.1%
Sep 19, 2019 -0.1%
Jul 30, 2019 -0.1%
Jun 20, 2019 -0.1%
Apr 25, 2019 -0.1%
Mar 15, 2019 -0.1%
Jan 23, 2019 -0.1%
Dec 20, 2018 -0.1%
Oct 31, 2018 -0.1%
Sep 19, 2018 -0.1%
Jul 31, 2018 -0.1%
Jun 15, 2018 -0.1%
Apr 27, 2018 -0.1%
Mar 09, 2018 -0.1%
Jan 23, 2018 -0.1%
Dec 21, 2017 -0.1%
Oct 31, 2017 -0.1%
Sep 21, 2017 -0.1%
Jul 20, 2017 -0.1%
Jun 16, 2017 -0.1%
Apr 27, 2017 -0.1%
Mar 16, 2017 -0.1%
Jan 31, 2017 -0.1%
Dec 19, 2016 -0.1%
Oct 31, 2016 -0.1%
Sep 21, 2016 -0.1%
Aug 08, 2016 -0.1%
Jun 19, 2016 -0.1%
May 31, 2016 -0.1%
Apr 28, 2016 -0.1%
Mar 17, 2016 -0.1%
Jan 29, 2016 -0.1%
Dec 18, 2015 0%
Nov 19, 2015 0%
Oct 07, 2015 0%
Sep 04, 2015 0%
Aug 07, 2015 0%
Oct 05, 2010 0%
Dec 19, 2008 0.1%
Oct 31, 2008 0.3%
Feb 21, 2007 0.5%
Jul 14, 2006 0.25%
Mar 20, 2001 0%
Aug 11, 2000 0.25%
Feb 12, 1999 0%
Sep 09, 1998 0.25%
Sep 08, 1995 0.5%
Apr 14, 1995 1%
Sep 21, 1993 1.75%
Feb 04, 1993 2.5%
Jul 27, 1992 3.25%
Apr 01, 1992 3.75%
Dec 30, 1991 4.5%
Nov 14, 1991 5%
Jul 01, 1991 5.5%
Aug 30, 1990 6%
Mar 20, 1990 5.25%

Recent Events

datetime event actual previous consensus
2025-10-29 11:00 PM BoJ Interest Rate Decision - 0.5% 0.5%
2025-09-18 11:50 PM BoJ Interest Rate Decision 0.5% 0.5% 0.5%

Next Release Date :

Japan Interest Rate : Definition
The Interest Rate set by the Bank of Japan is the benchmark cost of borrowing in the economy. It influences lending, spending, investment, inflation, and overall financial stability.
Indicator Last Value Prior Value Period
Current Account to GDP Ratio 4.7% 3.8% Dec'24
Government Gross Debt to GDP 237% 240% Dec'24
Private Credit (% GDP) 196.87% 195.22% 2024