Bank of Japan raises interest rates to highest level since 1995
The Bank of Japan (BOJ) on June 18 raised its benchmark interest rate by 0.25 percentage points to 1.0%, the highest since 1995, driven by price pressures from Middle East conflict and rising oil prices. The move is part of a gradual exit from ultra-loose monetary policy, with core CPI rising 1.4% in April thanks to government energy controls. GDP grew 2.1% in Q1, indicating positive economic momentum.