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Latest Business News

BOJ to Decide Whether to Raise Rates

Tuesday, February 20, 2007 1:30:26 AM
By YURI KAGEYAMA

Japanese businessmen cross a road in front of the Bank of Japan Tuesday, Feb. 20, 2007. The strength of Japan's economic growth is among the factors the central bank will weigh as its policy board begins a two-day meeting to decide whether to raise interest rates. (AP Photo/Katsumi Kambayashi)TOKYO (AP) - The state of Japan's economic recovery and the lingering danger of falling prices are among the factors that the central bank is studying at its two-day policy meeting starting Tuesday.

Recent economic reports have sent mixed signals, and the market is divided over whether the Bank of Japan will raise interest rates from the current 0.25 percent.

Last week, the government said Japan's economy grew at a stronger-than-expected annual pace of 4.8 percent in the fourth quarter — the fastest pace in nearly three years.


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