Bank of Japan
Short-term policy rate raised 25 basis points to 1.25 percent
The Bank of Japan has raised its uncollateralized overnight call rate target from around 1.0 percent to around 1.25 percent at its September 2026 monetary policy meeting.
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CBDC pilot achieves 50,000 transactions per second in test run
The Bank of Japan reported that its digital currency pilot reached 50,000 transactions per second during high-load tests.
Record splitting lifts CBDC transaction capacity to 6,000 TPS
The Bank of Japan found no fatal technical barriers to central bank digital currency deployment after testing an experimental platform up to 50,000 transactions per second.
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Masu urges rate increases into 1.1 to 2.5 percent neutral range
Bank of Japan Policy Board member Kazuyuki Masu stated on September 10, 2026, that the central bank must raise its policy interest rate above the current 1.0 percent level and into the estimated neutral range of 1.1 to 2.5 percent to complete monetary normalization.
Higher yen rates lift Japan major bank profits by 32.7 percent
Net income at Japan’s major financial groups rose 32.7 percent to ¥6.0 trillion in fiscal 2025 as rising yen interest rates widened lending spreads.
Takata urges nimble rate hikes as inflation risks mount
Bank of Japan Policy Board member Hajime Takata called for a nimble approach to interest rate increases during a speech in Sapporo on September 2, 2026.
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JGB market functioning DI edges up to minus 12 in August
Secondary Japanese government bond market functioning improved to minus 12 percentage points in August, according to the Bank of Japan's quarterly survey.
Cash makes up 47.2 percent of Japanese household assets
Comparative Flow of Funds data for the first quarter of 2026 show currency and deposits made up 47.2 percent of Japanese household assets, according to the Bank of Japan.
Himino signals rate rises as underlying inflation nears 2 percent
Bank of Japan Deputy Governor Ryozo Himino indicated the central bank will continue raising interest rates as underlying inflation approaches two percent.
Generative AI adoption tops 90 percent among Japanese banks
A Bank of Japan survey shows that 79.3 percent of Japanese financial institutions actively use generative AI, rising to over 90 percent when trials are included.
Fifth climate survey tracks ESG bond markets and SSBJ disclosures
The Bank of Japan has released the results of its fifth Market Functioning Survey concerning Climate Change on August 17, 2026.
Downward wage rigidity and deflation widen wage-productivity gap
A Bank of Japan working paper shows that downward nominal wage rigidity combined with prolonged deflation and job security preferences widened Japan's wage-productivity gap over the past 30 years.