23 November 2023
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No Interest for Negative Interest: Japan’s Negative Interest Rate Problem
The year was 2016. On the 29th of January, the Bank of Japan (BoJ) decided to implement a policy that, until then, had only been seen in a few Nordic nations, ‘The Negative Interest Rate Policy’. This policy intend that the BoJ impose a nominal interest rate of -0.1% on certain reserves being held by commercial banks. By February…