BOJ keeps rates steady, says overseas risks receding

Bank of Japan Governor Kazuo Ueda delivers a speech at the start of issuance of new yen banknotes at the Bank of Japan headquarters in Tokyo on July 3, 2024. (Photo by JAPAN POOL / JIJI PRESS / AFP) / Japan OUT

TOKYO: The Bank of Japan maintained ultra-low interest rates on Thursday but said risks surrounding the U.S. economy were somewhat subsiding, signalling that conditions are falling into place to raise interest rates again.

The central bank also projected inflation to move around its 2% target in coming years, stressing its resolve to keep hiking borrowing costs if the economy sustains a moderate recovery.