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Economy

BOJ's negative rate policy still only halfway to intended results

Bank of Japan Gov. Haruhiko Kuroda

TOKYO -- Tuesday marked six months since the Bank of Japan introduced negative interest rates, and the effects and drawbacks of the unusual step have come to the fore.

The policy has yet to produce falls in the yen's value, arousing concern about adverse effects on earnings at financial institutions, while steep drops in market interest rates have stimulated housing-related loans and investment. It thus remains halfway to its target of stimulating the real economy to push up prices.

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