Bank of Japan keeps rates unchanged

The Policy Board of the Bank of Japan has announced that it has decided to keep the nation’s interest rate unchanged at between 0% and 0.1%. The Bank of Japan has said that whilst there has been some improvement in the US there remains nervousness around the ongoing situation in the eurozone. As overseas economic conditions improve the central bank has forecast that its own economy will return to a path of moderate growth, with inflation predicted to remain around 0% for the time being. Earlier this week the International Monetary Fund (IMF) suggested that a rate cut from the Bank of England, or greater quantitative easing, might be useful to help stimulate growth in the UK.