The benchmark interest rate in Japan was last recorded at 0.50 percent. This dataset provides - Japan Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The central bank policy rate in Japan stood at 0.5 percent in February 2025. In March 2024, the Bank of Japan raised short-term interest rates for the first time in 17 years, ending its negative interest rate policy. From August 2024 onwards, the central bank encouraged the uncollaterized overnight call rate to remain at 0.25 percent. A third rate hike to 0.5 percent was implemented in January 2025. In 2016, the Bank of Japan had introduced a policy of quantitative and qualitative monetary easing (QQE) with yield curve control, one component of which included controlling short-term and long-term interest rates through market operations.

Key information about Japan Policy Rate

• Japan cash rate (Policy Rate: Month End: Japan: Complementary Deposit Facility Interest Rate) was set at -0.10 % pa in Jun 2023, compared with -0.10 % pa in the previous May 2023.
• Japan Policy Rate averaged -0.10 % pa and is updated monthly, available from Nov 2008 to Jun 2023.
• The data reached an all-time high of 0.10 % pa in Jan 2016 and a record low of -0.10 % pa in Jun 2023.

As of April 2013, Bank of Japan has switched to the amount of monetary base as its main operating tool. Under this arrangement, the Complementary Deposit Facility Interest Rate can be used as an indication of monetary policy. It represents the interest paid on excess reserve balances (balances held at the account with the Bank of Japan in excess of required reserves under the reserve deposit requirement system).


Related information about Japan Policy Rate

• In the latest reports, Japan Short Term Interest Rate: Month End: TIBOR: Japanese Yen: 3 Months was reported at 0.07 % pa in Jun 2023.
• Its Long Term Interest Rate (Bonds Yield: Government Bonds: Newly Issued: 10 Years: Month End) was reported at 0.43 % pa in May 2023.
• Japan Exchange Rate against USD averaged 137.05 (USD/JPY) in May 2023.
• Its Real Effective Exchange Rate was 59.46 in May 2023.

Japan JP: Real Interest Rate data was reported at 0.769 % pa in 2016. This records an increase from the previous number of -0.978 % pa for 2015. Japan JP: Real Interest Rate data is updated yearly, averaging 2.802 % pa from Dec 1961 (Median) to 2016, with 56 observations. The data reached an all-time high of 6.125 % pa in 1983 and a record low of -12.450 % pa in 1970. Japan JP: Real Interest Rate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Japan – Table JP.World Bank.WDI: Interest Rates. Real interest rate is the lending interest rate adjusted for inflation as measured by the GDP deflator. The terms and conditions attached to lending rates differ by country, however, limiting their comparability.; ; International Monetary Fund, International Financial Statistics and data files using World Bank data on the GDP deflator.; ;

Key information about Japan Long Term Interest Rate

• Japan Bonds Yield: Government Bonds: Newly Issued: 10 Years: Month End was reported at 1.37 % pa in Feb 2025, compared with 1.24 % pa in the previous month.
• Japan Long Term Interest Rate data is updated monthly, available from Dec 1998 to Feb 2025.
• The data reached an all-time high of 2.10 % pa in Jan 1999 and a record low of -0.28 % pa in Aug 2019.
• Long Term Interest Rate is reported by reported by Bank of Japan.

Data refers to yield of newly issued 10-year Japanese Government Bond yield. Yield figures before November 2014 are rates on the latest transaction. Yield figures from November 2014 onwards are rates based on JGB closing prices.


Related information about Japan Long Term Interest Rate

• In the latest reports, Japan Short Term Interest Rate: Month End: TIBOR: Japanese Yen: 3 Months was reported at 0.79 % pa in Feb 2025.
• The cash rate (Policy Rate: Month End: Japan: Complementary Deposit Facility Interest Rate) was set at -0.10 % pa in Jun 2023.
• Japan Exchange Rate against USD averaged 141.36 (USD/JPY) in Jun 2023.

As of March 2025, the maximum interest rate for 21 to 35-year fixed-rate Flat 35 housing loans with a loan-to-value ratio of 90 percent or less in Japan stood at 3.69 percent. This represented an increase compared to 3.57 percent in December 2024.

Interbank Rate in Japan remained unchanged at 0.82 percent on Thursday March 27. This dataset provides - Japan Three Month Interbank Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Interest Rates: Immediate Rates (< 24 Hours): Call Money/Interbank Rate: Total for Japan (IRSTCI01JPM156N) from Jul 1985 to Feb 2025 about interbank, overnight, Japan, interest rate, interest, and rate.

As of December 2024, the long-term prime lending rate in Japan was 1.9 percent per annum. The long-term prime lending rate is an interest rate for long-term loans of one year or more to companies with high credit ratings set by Mizuho Bank.

Graph and download economic data for Interest Rates: Immediate Rates (< 24 Hours): Central Bank Rates: Total for Japan (IRSTCB01JPM156N) from Jan 1960 to Dec 2023 about overnight, Japan, interest rate, banks, interest, depository institutions, and rate.

Japan Interest Rate Swap: Yen: 5 Year data was reported at 0.075 % pa in Nov 2018. This records a decrease from the previous number of 0.120 % pa for Oct 2018. Japan Interest Rate Swap: Yen: 5 Year data is updated monthly, averaging 0.500 % pa from Nov 2000 (Median) to Nov 2018, with 217 observations. The data reached an all-time high of 1.643 % pa in Jun 2007 and a record low of -0.159 % pa in Jun 2016. Japan Interest Rate Swap: Yen: 5 Year data remains active status in CEIC and is reported by Sumitomo Mitsui Trust Bank. The data is categorized under Global Database’s Japan – Table JP.M015: Interbank and Swap Rates.

In January 2025, global inflation rates and central bank interest rates showed significant variation across major economies. Most economies initiated interest rate cuts from mid-2024 due to declining inflationary pressures. The U.S., UK, and EU central banks followed a consistent pattern of regular rate reductions throughout late 2024. In early 2025, Russia maintained the highest interest rate at 21 percent, while Japan retained the lowest at 0.5 percent. Varied inflation rates across major economies The inflation landscape varies considerably among major economies. China had the lowest inflation rate at 0.5 percent in January 2025. In contrast, Russia maintained a high inflation rate of 9.9 percent. These figures align with broader trends observed in early 2025, where China had the lowest inflation rate among major developed and emerging economies, while Russia's rate remained the highest. Central bank responses and economic indicators Central banks globally implemented aggressive rate hikes throughout 2022-23 to combat inflation. The European Central Bank exemplified this trend, raising rates from 0 percent in January 2022 to 4.5 percent by September 2023. A coordinated shift among major central banks began in mid-2024, with the ECB, Bank of England, and Federal Reserve initiating rate cuts, with forecasts suggesting further cuts through 2025 and 2026.

Graph and download economic data for Interest Rates, Discount Rate for Japan (INTDSRJPM193N) from Jan 1953 to Apr 2017 about Japan, interest rate, interest, and rate.

Japan 10Y Bond Yield was 1.59 percent on Thursday March 27, according to over-the-counter interbank yield quotes for this government bond maturity. Japan 10 Year Government Bond Yield - values, historical data, forecasts and news - updated on March of 2025.

In December 2024, the median interest rate on housing loans issued by city banks in Japan stood at about 2.63 percent per annum, increasing for the first time in years. City banks are the largest banks in Japan.

Key information about Japan Exchange Rate against USD

• Japan Exchange Rate against USD averaged 137.053 (USD/JPY) in May 2023, compared with 133.475 USD/JPY in the previous month.
• Japan Exchange Rate against USD data is updated monthly, available from Jan 1957 to May 2023.
• The data reached an all-time high of 360.000 in Dec 1970 and a record low of 76.643 in Oct 2011.

CEIC extends history for monthly average Exchange Rate against USD. Federal Reserve Board provides average Exchange Rate against USD. Exchange Rate against USD prior to January 1971 is sourced from the International Monetary Fund.


Key information about Japan Exchange Rate against USD

• In the latest reports, Japan Short Term Interest Rate: Month End: TIBOR: Japanese Yen: 3 Months was reported at 0.075 % pa in May 2023.
• Its Long Term Interest Rate (Bonds Yield: Government Bonds: Newly Issued: 10 Years: Month End) was reported at 0.390 % pa in Apr 2023.
• The cash rate (Policy Rate: Month End: Japan: Complementary Deposit Facility Interest Rate) was set at -0.100 % pa in May 2023.

In 2023, Japan had an average inflation rate estimated at 3.21 percent, marking the highest rate of inflation in Japan in almost a decade. However, this figure was still very low compared to most other major economies, such as Japan's fellow G7 members, four of which had inflation rates around six or seven percent in 2023 due to the global inflation crisis. Why is Japan's inflation rate lower? There are a number of contributing factors to Japan's relatively low inflation rate, even during economic crises. Japan eased its Covid restrictions more slowly than most other major economies, this prevented post-pandemic consumer spending that may have driven inflation through supply chain issues caused by higher demand. As the majority of Japan's food and energy comes from overseas, and has done so for decades, the government has mechanisms in place to prevent energy and wheat prices from rising too quickly. Because of this, Japan was able to shield its private sector from many of the negative knock on effects from Russia's invasion of Ukraine, which had a significant impact on both sectors globally. Persistent deflation and national debt An additional factor that has eased the impact of inflation on Japan's economy is the fact that it experienced deflation before the pandemic. Deflation has been a persistent problem in Japan since the asset price bubble burst in 1992, and has been symptomatic of Japan's staggering national debt thereafter. For almost 30 years, a combination of quantitative easing, low interest rates (below 0.5 percent since 1995, and at -0.1% since 2016), and a lack of spending due to low wages and an aging population have combined to give Japan the highest national debt in the world in absolute terms, and second-highest debt in relation to its GDP, after Venezuela. Despite this soaring debt, Japan remains the fourth-largest economy in the world, behind the U.S., China, and Germany.

Tokyo Interbank Offered Rate: Japanese Yen: 1 Month data was reported at 0.063 % pa in Nov 2018. This stayed constant from the previous number of 0.063 % pa for Oct 2018. Tokyo Interbank Offered Rate: Japanese Yen: 1 Month data is updated monthly, averaging 0.136 % pa from Sep 1998 (Median) to Nov 2018, with 243 observations. The data reached an all-time high of 0.854 % pa in Nov 1999 and a record low of 0.030 % pa in Aug 2017. Tokyo Interbank Offered Rate: Japanese Yen: 1 Month data remains active status in CEIC and is reported by JBA TIBOR Administration. The data is categorized under Global Database’s Japan – Table JP.M015: Interbank and Swap Rates.

Key information about Japan Real Effective Exchange Rate

• Japan Real Effective Exchange Rate (REER: 2005=100: Month Avg: Japan) was 55.5 in Jan 2025, compared with the number of 56.0 in the previous month.
• Japan Real Effective Exchange Rate data is updated monthly and averaged 151.4 from Jan 1970 to Jan 2025.
• The data reached an all-time high of 151.4 in Apr 1995 and a record low of 53.3 in Jul 2024.

CEIC generates Real Effective Exchange Rate Index with base 2005=100. Bank of Japan provides Real Effective Exchange Rate Index with base 2020=100. CPI is used as a deflator. An increase in REER indicates reduced competitiveness for the reporting economy.


Related information about Japan Real Effective Exchange Rate

• In the latest reports, Japan Short Term Interest Rate: Month End: TIBOR: Japanese Yen: 3 Months was reported at 0.8 % pa in Jan 2025.
• The cash rate (Policy Rate: Month End: Japan: Complementary Deposit Facility Interest Rate) was set at -0.1 % pa in Jun 2023.
• Japan Exchange Rate against USD averaged 141.4 (USD/JPY) in Jun 2023.

Canada's inflation rate experienced significant fluctuations from 2018 to 2025. Inflation peaked at 8.1 percent in June 2022 before steadily declining to 1.9 percent by January 2025. In response to rising inflation between 2020 and 2022, the Bank of Canada implemented aggressive interest rate hikes. The bank rate reached a maximum of 5.25 percent in July 2023 and remained stable until June 2024. As inflationary pressures eased in the second half of 2024, the central bank reduced interest rates to 3.5 percent in December 2024. This pattern reflected broader global economic trends, with most advanced and emerging economies experiencing similar inflationary challenges and monetary policy adjustments. Global context of inflation and interest rates The Canadian experience aligns with the broader international trend of central banks raising policy rates to combat inflation. Between 2021 and 2023, nearly all advanced and emerging economies increased their central bank rates. However, a shift occurred in the latter half of 2024, with many countries, including Canada, beginning to lower rates. This change suggests a new phase in the global economic cycle and monetary policy approach. Notably, among surveyed countries, Russia maintained the highest interest rate in early 2025, while Japan had the lowest rate. Comparison with the United States The United States experienced a similar trajectory in inflation and interest rates. U.S. inflation peaked at 9.1 percent in June 2022, slightly higher than Canada's peak. The Federal Reserve responded with a series of rate hikes, reaching 5.33 percent in August 2023. This rate remained unchanged until September 2024, when the first cut since September 2021 was implemented. In contrast, Canada's bank rate peaked at 5.25 percent and began decreasing earlier, with cuts in June and July 2024. These differences highlight the nuanced approaches of central banks in managing their respective economies amid global inflationary pressures.