Japan's central bank leaves key lending rate unchanged

AP Online
03-26-1998
TOKYO (AP) _ In a widely expected move, the Bank of Japan announced Thursday that it has left a key lending rate unchanged at its all-time low of 0.5 percent.

The decision was made unanimously by a four-member policy-making board, including new Bank of Japan Governor Masaru Hayami.

The 72-year-old Hayami officially assumed the central bank's top post last Friday after his predecessor, Yasuo Matsushita, resigned to take responsibility for a bribery scandal at the institution.

Speaking before Parliament on Monday, Hayami ruled out an early increase in interest rates by saying low rates would help the slumping Japanese economy recover.

Japan's official discount rate, the key lending rate charged by the Bank of Japan for loans to commercial banks, has remained at a record low of 0.5 percent since September 1995.


Copyright 1998 The Associated Press All Rights Reserved.
Japan's central bank leaves key lending rate unchanged
AP Online
03-26-1998
TOKYO (AP) _ In a widely expected move, the Bank of Japan announced Thursday that it has left a key lending rate unchanged at its all-time low of 0.5 percent.

The decision was made unanimously by a four-member policy-making board, including new Bank of Japan Governor Masaru Hayami.

The 72-year-old Hayami officially assumed the central bank's top post last Friday after his predecessor, Yasuo Matsushita, resigned to take responsibility for a bribery scandal at the institution.

Speaking before Parliament on Monday, Hayami ruled out an early increase in interest rates by saying low rates would help the slumping Japanese economy recover.

Japan's official discount rate, the key lending rate charged by the Bank of Japan for loans to commercial banks, has remained at a record low of 0.5 percent since September 1995.


Copyright 1998 The Associated Press All Rights Reserved.