The Bank of Japan raised the benchmark interest rate from 0.5% to 0.75%, marking the highest interest rate level in 30 years. This is also the first rate hike by the Bank of Japan in 11 months since January 2025. The rate hike decision was unanimously approved. The Bank of Japan expects real interest rates to remain at extremely low levels. If economic and price trends align with expectations and improve, further rate hikes will continue. Even after the rate adjustment, monetary conditions remain accommodative, supporting the economy. The Bank of Japan maintains its assessment of the Japanese economy, stating that despite some weaknesses, the economy is recovering moderately, and core inflation is expected to continue rising gently.