A man walks in front of the headquarters of Bank of Japan in Tokyo, Japan, January 18, 2023.
Many central bank policymakers prefer to hold fire until there is more clarity on whether Japan's fragile economy can weather the hit from slowing U.S. and Chinese demand, they say.
"Uncertainty over the global outlook is very high, posing a huge risk to Japan's economy," one of the sources said.
At the two-day meeting ending on Friday, the BOJ is widely expected to maintain its short-term interest rate target of -0.1% and that for the 10-year bond yield around 0%.
It is also seen leaving unchanged guidance pledging to keep intact its bond yield control policy until inflation stably hits the bank's 2% target, the sources said.
Persons:
Issei Kato, Ueda, Kazuo Ueda, Haruhiko, Leika Kihara, Sam Holmes
Organizations:
Bank of Japan, REUTERS, Bank of, Thomson
Locations:
Tokyo, Japan, TOKYO, Bank of Japan, United States