The Bank of Japan kept its key short-term interest rate unchanged at -0.1% during its June meeting and maintained the 10-year government bond yield around 0% by an 8-1 vote. The central bank also made no changes to a range of programs it has launched to deliver money via financial institutions into companies faced with plunging sales due to the pandemic. Policymakers are in the view that the economy will gradually recover from the damage caused by the health crisis. The BOJ said it expects to inject around JPY 110 trillion ($1 trillion) to the economy via its market operations and lending facilities aimed at mitigating the impact of the pandemic.
