Yen hits new 20-year low after Bank of Japan strengthens low interest rate policy

TOKYO — The yen weakened to more than 130 against the dollar on Thursday for the first time since April 2002, after the Bank of Japan strengthened its low-interest rate commitment despite rising inflation.

“While central banks in the United States and Europe are moving toward monetary tightening or rate hikes, the Japanese economy is still recovering from the impact of the Covid-19 pandemic,” BOJ Governor Haruhiko Kuroda said at a news conference. “It is most important to support economic recovery by patiently continuing monetary easing.”

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