Bank of Japan raises interest rate to 1% amid weak Yen and higher prices

The Bank of Japan has raised its benchmark interest rate to one percent today, citing challenges stemming from a weak Japanese yen and higher prices. Inflationary pressures due to the West Asia conflict, resulted in hike in oil prices, have hit Japan hard since it imports almost all its oil and gas. Low interest rates had added to pressures on the Japanese yen, which has fallen lately to about 160 yen to the US dollar.