Bank of Japan pessimistic

08-19-2008 11:12

The central bank of Japan expects the Japanese economy to grow even less hard than they expected. Therefore, the bank of Japan adjusted the growth expectations further downwards today.

The constantly rising energy prices together with the decreased growth of export activities both contribute to the negative growth developments of the Japanese economy.

Earlier this week, the managers of the central Japanese bank, decided to maintain the interest rate of 0.5%. For international standards an interest rate of 0.5% is exceptionally low. This minimal rate was already established in February 2007.