The BOJ's Gradual March Towards Normalization The Bank of Japan (BOJ) has maintained a record low policy rate for an extended period, but the Organisation for Economic Co operation and Development's (OECD) latest estimate suggests that this may change by the end of 2027.
According to the OECD, the BOJ's policy rate is likely to reach 2% by then. This development follows recent trends in global interest rates.
Several major central banks have begun to normalize their policies, with some increasing their benchmark rates by 50 basis points or more.