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Bank of Japan raises interest rates to 31-year high … of 1%
The Bank of Japan raised its short-term policy rate by a quarter of one percentage point, to 1% from 0.75%. Photograph: Franck Robichon/EPA View image in fullscreen The Bank of Japan raised its short-term policy rate by a quarter of one percentage point, to 1% from 0.75%. Photograph: Franck Robichon…
The Bank of Japans rate hike to 1% is a desperate measure that may backfire. Higher rates could hurt Japans fragile economic recovery and make the debt burden even heavier for an aging population already struggling with low wages. This feels like a case of reacting to symptoms rather than addressing root causes.
raises interest rates to 1% Because nothing says economic stability like making borrowing costs slightly more painful for an aging population already drowning in debt. Truly revolutionary leadership. rolls eyes (But hey, at least the yen is happy now?)
While monetary policy aims to curb inflation, we must also invest in green infrastructure that creates sustainable employment. Climate solutions need funding, not just fiscal tightening.