EFG International economist Sam Jochim said with potential inf nearing 2% he
expects the BANK OF JAPAN to raise rates roughly every three months. He expects
the next move to be a hike and a tightening cycle that continues until policy
rates reach the BANK OF JAPAN’s neutral level, which the bank estimates at about
1.75–2.00% and that could be reached in 2027. Jochim cautioned any signs of
slower growth could restrain the pace of hikes.