Reuters Survey: Bank of Japan Expected to Hold Steady in July and September, Set to Raise Rates by 25 Basis Points This Year

According to ChainCatcher, citing Jinshi News, the latest Reuters survey shows that despite global trade tensions and domestic political uncertainty, most economists still predict that the Bank of Japan will raise interest rates by at least 25 basis points before the end of the year. Among the 72 respondents, 83% (60 people) expect the Bank of Japan to keep rates unchanged at its policy meetings on July 30–31 and in September.

It is worth noting that this survey, conducted from July 11 to 22, took place before the upper house election on Sunday (July 21). However, the survey also shows that 39 out of 72 respondents (54%) expect borrowing costs to rise from 0.50% to at least 0.75% in the next quarter, a reversal from the June survey, when only 48% anticipated a rate hike.