The BOJ kept interest rates unchanged, with one dissenting vote, and revised its fiscal 2026 GDP growth forecast upward.
The Bank of Japan maintained its benchmark interest rate, as widely anticipated, with an 8-1 vote in favor. Board member Takata dissented, marking the first split decision since the policy shift in March.
The central bank raised its real GDP growth forecast for fiscal 2026 to 0.6% from a prior 0.5%. It also noted that risks to price stability remain skewed to the upside, signaling cautious optimism amid ongoing economic uncertainty.
Markets showed limited reaction to the decision, focusing instead on the BOJ’s updated economic projections and the lone dissenting vote.