BOJ could hold rates if inflation expectations settle

BANK of Jamaica Governor Brian Langrin says the central bank would be content to leave interest rates where they are if inflation pressures do not worsen and businesses stop expecting prices to rise faster.

His comments at Tuesday’s monetary policy briefing gave media representatives a clearer sense of what could follow the BOJ’s decision to raise its policy rate by half a percentage point to 6.0 per cent. The increase, which took effect Tuesday, was the bank’s first since November 2022.

“At this point, if conditions remain as they are and we see no further pickup in expectations, we’d certainly be happy not to act,” Langrin said when asked whether rates could rise again at the next decision in November.