Japan Cuts Interest Rate to Zero

×

Japan's central bank has cut its key interest rate to a range of 0% to 0.1%, effectively introducing a zero-interest-rate policy.

The unanimous vote came Tuesday after a two-day meeting of the Bank of Japan's nine-member policy board.

The central bank had not changed the overnight call rate target since December 2008, when it set the rate at 0.1%.

The decision underscores growing worries about the Japanese economy, which is being battered by a strong yen and persistent deflation. Recent economic indicators point toward weakening growth.


Increase your money and finance knowledge from home

Getting out of debt

Everyone hates debt. Get out of it.

View Course »

Intro to different retirement accounts

What does it mean to have a 401(k)? IRA?

View Course »

Add a Comment

*0 / 3000 Character Maximum