Insiders say the Bank of Japan may consider raising its economic growth forecast
for the fiscal year to March next year (currently +0.5%) at this month's policy
meeting while keeping the policy rate unchanged. The bank has already lifted
rates to their highest level since 1995. Officials cited sustained global
AI‑related demand as supporting Japan's economic resilience and are weighing
revising the assessment that economic risks are "tilted to the downside" to
reflect growing confidence Japan can avoid a severe recession. Insiders said
final decisions will follow assessment of all available data up to the 11th
hour.