Bank of Japan Lowers GDP Forecast, Increases Expected Inflation Rate
1000 yen bills and 10,000 yen bills spread out on a table.
InternationalIndiaAfricaMOSCOW, (Sputnik) – The Bank of Japan (BOJ) lowered on Wednesday its forecast on the GDP growth for the current financial year, which ends on March 31, to 1.9% from 2% announced in October, while raising the expected inflation rate to 3% from 2.9%. The BOJ also reduced its expectations of the GDP growth to 1.7% from 1.9% in the next fiscal year and to 1.1% from 1.5% in 2024. Japan’s central bank kept its forecast for inflation in the next fiscal year the same 1.6% as in October but increased it to 1.8% from 1.6% for 2024. In 2013, the BOJ announced a “price stability target” of 2% annual inflation. The year 2022 will become the first to exceed this benchmark since 2015.
