Bank of Japan Monetary Policy Meeting Minutes

BoJ Monetary Policy Meeting Minutes: December 2025 Meeting 2026-01-27 18:50

BoJ Monetary Policy Meeting Minutes: October 2025 Meeting 2025-12-23 18:50

BoJ Monetary Policy Meeting Minutes: September 2025 Meeting 2025-11-04 18:50

BoJ Monetary Policy Meeting Minutes: July 2025 Meeting 2025-09-24 18:50

BoJ Monetary Policy Meeting Minutes: June 2025 Meeting 2025-08-04 18:50

BoJ Monetary Policy Meeting Minutes: May 2025 Meeting 2025-06-19 18:50

Summary of Staff Reports on Economic and Financial Developments

The BoJ maintained the uncollateralized overnight call rate near 0.5%, operating per the January 2025 policy guidelines.
Monthly JGB purchases totaled approximately ¥4.5 trillion, in line with the reduction plan.
Purchases of CP and corporate bonds ended after January, following prior policy decisions.
Overnight call and GC repo rates hovered around 0.5%.
TOPIX was stable, weighed by trade policy concerns but supported by strong corporate earnings.
10-year JGB yields rose due to improved economic indicators and shifting rate expectations.
The yen appreciated against the USD due to narrowing yield differentials; largely flat vs. the euro.
Bond market functioning improved; DI reached levels last seen in 2015.

Japan’s economy recovered moderately and is expected to grow above potential.
Exports and industrial production were flat but projected to rebound with global IT demand.
Corporate profits improved; capex continued increasing on accommodative conditions.
Private consumption rose moderately despite price pressures; sentiment softened due to food inflation.
Employment and wages showed steady improvement. Nominal wages and employee income rose.
CPI inflation (ex-fresh food) stood at 3.0–3.5% YoY. Underlying inflation expected to rise gradually.
Inflation pressures include wage growth, energy subsidy reductions, and higher rice prices.
Conditions remained accommodative despite rising funding costs.
Bank lending and corporate bond issuance rose ~3.5% YoY.
Money stock growth was in the 1.0–1.5% YoY range.
Bank lending attitudes stayed favorable; bankruptcies increased more slowly.

Members agreed on moderate global growth but rising uncertainty due to U.S. tariff policy and geopolitical shifts.
U.S.: Baseline outlook positive; some policy-linked downside risks identified (e.g., fiscal cuts, tariffs).
Europe: Weakness noted, especially in Germany and France; cost pressures hurt competitiveness.
China: Growth losing steam; real estate drag continues; risks skewed to the downside.
Members were cautious about the unclear impacts of tariff frameworks to be revealed in April.
Japan's domestic outlook:
Price dynamics:
Risks flagged:

Funding conditions for most firms remained favorable.
Concerns raised for micro-sized firms facing rising borrowing costs.
Long-term rates still seen as low relative to expected returns, thus not constraining investment.

The BoJ unanimously maintained its operational guideline to keep the call rate around 0.5%.
Forward guidance:
Mixed views on timing for future hikes:
U.S. policy (especially tariffs) and potential downside to Japan’s economy were top concerns.
Communication strategy:
Market operations:
JGB purchase plan:

Source

BoJ Monetary Policy Meeting Minutes: January 2025 Meeting 2025-03-24 18:50

BoJ Monetary Policy Meeting Minutes: December 2024 Meeting 2025-01-28 18:50

BoJ Monetary Policy Meeting Minutes: October 2024 Meeting 2024-12-23 18:50