In a historic move that marks the end of nearly two decades of negative rates, Japan has initiated a rate hike, signaling a pivotal shift in its economic policy landscape. The decision, orchestrated by the Bank of Japan (BOJ), holds profound implications for the nation’s economic trajectory. Combatting Deflation: A Long-fought Battle Japan’s struggle against deflation has been protracted and …

Japan’s economy contracted by an annualized rate of 1.2% in the last three months of 2023, marking the second consecutive quarter of negative growth and pushing the country into a technical recession. The decline was mainly driven by a slump in consumer spending, which fell by 3.1% as households face higher taxes, rising inflation, and the impact of the Omicron …