Japan reviews the GDP of the lowest quarter quarter, which complicates the perspective of the Boj’s interest rate

Japan’s economic growth slowed 2.2% annualized in the fourth quarter, which complicates the case of the Central Bank for an increase in additional interest rates in the short term.

The data reviewed arrived in the average forecast of economists and The initial estimate of 2.8% growth.

On a quarter to quarter, GDP expanded 0.6%, compared to A 0.7% growth in preliminary data Released last month, the reviewed data of the cabinet office showed on Tuesday.

It is likely that the Bank of Japan will hold the policy rate at its next policy meeting from March 18 to 19, Reuters reported. However, the Rate Fixing Board could be discussing another increase in rates as soon as in May, due to concerns about inflationary pressure for salary gains and stubborn increases in food costs.

Japanese Prime Minister Shigeru ishiba said Monday that the Central Bank was close to achieving its inflation target of 2%. “The Bank of Japan is taking several steps to achieve stable prices,” he said.

As the Central Bank sought to normalize its ultra -up monetary policy last year, short -term interest rates have increased in a percentage quarter to 0.5% in January, Its highest level from the depth of the world financial crisis in 2008.

Governor of the Bank of Japan Kazuo Ueda and Other members of the Rate Fixing Board have Pointed more rate increases If inflation moves with duration towards its inflation target of 2%.

The country’s 10 -year government bonus produces Recently it rose to its highest level since October 2008In the midst of sustained inflation in the country, a sale of global liquidation in bonds, as well as comments from the Central Bank that will continue to reduce the purchase of Japanese government bonds.

Japan’s main inflation has It remained above the 2% target of the BOJ for 34 consecutive monthswith the most recent figure in January reaching a maximum of two years of 4%.

The so -called “nucleus” inflation rate, which eliminates fresh food and energy prices and is closely monitored by the BOJ, rose slightly 2.5% in January, reaching its highest rate since March 2024.

Separately, the BOJ is scheduled to launch the corporate goods price index for January of Wednesday, which measures that the prices of goods of goods are charged with each other. The meter is expected to show a decrease of 0.1% month by month, according to a Reuters survey, while jumping 4.0% compared to the previous year.

– Lim hui jie of CNBC contributed to this report.