The Bank of Japan announced today, Wednesday, that it will keep interest rates unchanged at around 0.5 percent.  

In a statement issued after a two-day meeting, the bank stated that Governor Kazuo Ueda and eight of his colleagues on the board agreed to maintain the interest rate, adhering to the policy adopted in the previous meeting after raising the benchmark interest rate in late January from 0.25 percent to 0.5 percent, its highest level in 17 years.  

The statement suggested that "the Japanese economy is likely to continue growing at a pace above its potential growth rate, supported by moderate growth in overseas economies and the intensification of a virtuous cycle from income to spending, underpinned by factors such as accommodative financial conditions."  

It added, "Regarding risks to the outlook, significant uncertainties remain surrounding Japan's economic activity and prices. It is necessary to pay close attention to developments in financial and foreign exchange markets and their impact on Japan's economic activity and prices."  

For his part, the bank's governor emphasized during a press conference held after the meeting the uncertainty surrounding the high tariffs imposed by the administration of U.S. President Donald Trump, noting that the United States is expanding the scope of its tariffs at an accelerating pace.  

The governor pointed out that the bank will consider how U.S. trade policies may impact the global and Japanese economies.