Bank of Japan set to raise rates to 1% in June

The Bank of Japan is expected to lift its policy rate from 0.75% to 1% at its June 15‑16 monetary‑policy meeting, a move seen as highly probable (about 93% according to Reuters‑based swaps data). A recent poll of economists showed 94% forecasting the hike, with most also anticipating further increases later in the year. The rate rise marks a decisive shift after a decade of ultra‑low rates and large‑scale bond purchases, and it is likely to dampen yen‑denominated speculative trading, including activity on crypto exchanges such as bitFlyer, which handles roughly 38% of Japan’s crypto volume. Governor Kazuo Ueda will miss the meeting due to hospitalization, leaving Deputy Governor Ryozo Himino to chair and Deputy Governor Shinichi Uchida to hold the press briefing. Analysts note that a stronger yen and higher borrowing costs could reduce carry‑trade flows and affect broader risk‑asset markets.