This article is from the source 'washpo' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at https://www.washingtonpost.com/world/asia_pacific/japan-2015-inflation-at-05-pct-unemployment-to-34-pct/2016/01/28/ed8b4daa-c61d-11e5-b933-31c93021392a_story.html

The article has changed 4 times. There is an RSS feed of changes available.

Version 2 Version 3
BOJ introduces negative interest rate to boost economy Bank of Japan introduces negative interest rate to boost economy
(35 minutes later)
TOKYO — The Bank of Japan has introduced a negative interest policy in a move to boost a stumbling recovery in the world’s third-largest economy. TOKYO — The Bank of Japan on Friday introduced a negative interest policy in a move to boost a stumbling recovery in the world’s third-largest economy.
The central bank says Friday it is imposing a 0.1 percent fee on deposits left with the central bank, effectively a negative interest rate. The central bank said it is imposing a 0.1 percent fee on some deposits left with the central bank, effectively a negative interest rate.
It hopes that will encourage commercial banks to lend more and stimulate investment and growth.It hopes that will encourage commercial banks to lend more and stimulate investment and growth.
The move had an immediate impact on financial markets. Japan’s benchmark Nikkei 225 stock index, which had been down about 0.8 percent at midday, shot higher. The Japanese yen slid, with the U.S. dollar rising to 120.40 yen from about 118.50 earlier in the day.
The BOJ said in a statement that it would divide banks’ deposits into three tiers, with categories earning positive, zero and negative interest rates.
It said the policy would continue as long as needed to achieve an inflation target of 2 percent. In the meantime, the BOJ pushed back its timeframe for achieving that goal from late 2016 to mid-2017.
Earlier Friday, data showed Japan’s core inflation rate for 2015, excluding volatile food prices, at 0.5 percent.
Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.