# Japan raises interest rate to 31-year high of 1.25% as inflation rises

https://mins.news/en/item/63642

- Al Jazeera, 2026-09-18 03:20 UTC
- Economy
- Original: https://www.aljazeera.com/news/2026/9/18/japans-interest-rate-hiked-to-31-year-high-at-1-25-as-inflation-rises?traffic_source=rss

> The Bank of Japan lifted its benchmark rate by 0.25 percentage points to 1.25%, taking borrowing costs to their highest level in 31 years. The move comes amid rising inflation and wages, with pressure from Washington also weighing on policymakers.

## Stories

- [Japan Yen and Stock Market Trends](https://mins.news/en/topic/japan-yen-and-stock-market) — Markdown: https://mins.news/en/topic/japan-yen-and-stock-market.md

## Related coverage

- [Why did Japan just raise rates, and why isn’t it helping the yen?](https://mins.news/en/video/64173) — Reuters, 2026-09-18
- [BOJ Governor Ueda speaks at news conference](https://mins.news/en/item/63992) — Reuters, 2026-09-18
- [Japan’s central bank raises benchmark interest rate to 1.25%](https://mins.news/en/item/63719) — euronews, 2026-09-18
- [Japan’s central bank raises benchmark interest rate to 1.25%](https://mins.news/en/item/63644) — The Associated Press, 2026-09-18