Japan Makes Borrowing Pricier for First Time in 30 Years

Japan's central bank raised borrowing costs from 1% to 1.25% on September 18, the highest since 1995. Think of it as raising the rent on money to restrain rising prices, continuing climbs since ending ultra-low rates in 2024. It was widely expected, with more rises forecast. It suggests Tokyo trusts inflation will last while testing what markets can take.