Data 金十 on March 12th, Senior Market Director of one of Japan’s largest banks, Masamichi Koike from Sumitomo Mitsui Banking Corporation, believes that if the economic trends continue, Bank Sentral Jepang may raise BenchmarkSuku Bunga to the highest level in 30 years at 2%, which is more hawkish than Konsensus expectations. As long as the US economy does not experience a recession, Bank Sentral Jepang may raise policy Suku Bunga from the current 0.5% to 1% this year. “If it is necessary to cool the economy or inflation, I think it must be raised to 2%.” Koike has shown foresight in predicting the rise of borrowing costs in Japan. In September 2023, he predicted that persistent inflation would drive short-term and long-term Suku Bunga from the bottom level Naik. Six months later, Bank Sentral Jepang revoked its negative Suku Bunga policy. Koike believes that Japan’s inflation rate will remain above 2% due to the pump in import costs caused by global trade turmoil. However, he expects that the rate hike will not have a significant adverse impact. He also holds a cautious attitude towards buying government bonds and other foreign bonds. He predicts that the Fed will not cut interest rates this year as the US economy is expected to remain healthy.