What does Bank of Japan hope to gain by imposing negative interest rates?
by Sean Farrell from on (#1288M)
Country's battle with deflation enters new phase with central bank hoping to avoid pitfalls of unconventional interest rate move
The Bank of Japan (BoJ) has imposed negative interest rates on banks to encourage them to lend to businesses, instead of hoarding cash, to support the flagging economy and the country's battle to break free of deflation.
Related: Stock markets rebound after Japan's shock move to negative interest rates - live
Related: Bank of Japan shocks markets by adopting negative interest rates
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