Japan’s central bank on Friday raised its policy rate to a three-decade high, marching ahead with its policy normalization, as inflation has stayed above its target levels for nearly four years now. The Bank of Japan raised benchmark rates by 25 basis points to 0.75%, their highest level since 1995, and in line with expectations of economists polled by Reuters. Despite the move, the BOJ said that real interest rates are expected to remain “significantly negative,” adding that accommodative financial conditions will continue to firmly support economic activity. Japan embarked on policy normalization last year, ... (full story)