Bank of Japan keeps rate on hold at -0.1%

The Bank of Japan (BOJ) left unchanged its short-term rate target at -0.1 per cent, keeping investors guessing over when it will shift policy after sticking with its negative interest rate for now, its latest monetary policy report showed on Tuesday.

The central bank also decided to purchase a necessary amount of Japanese government bonds (JGBs) without setting an upper limit so that 10-year JGB yields will remain at around zero per cent, the statement said.

The bank will continue with Quantitative and Qualitative Monetary Easing (QQE) with f Yield Curve Control (YCC), aiming to achieve the price stability target, as long as it is necessary for maintaining that target in a stable manner, the statement added.