[Bank of Japan Deputy Governor Masazumi Wakatabe Suggests Rate Hike in March Unlikely] March 2, Jin10 News – Bank of Japan Deputy Governor Masazumi Wakatabe did not provide a clear indication regarding the possibility of a rate hike in the near term, reinforcing financial markets' expectations that the authorities will remain on hold in March. Following the outbreak of the Middle East conflict last weekend, the market widely believes the Bank of Japan will adopt a wait-and-see approach. Wakatabe stated, "I want to closely monitor the situation in the Middle East." This contrasts sharply with his remarks in January, when he noted that the committee would discuss rate hikes at the upcoming meeting. Wakatabe is scheduled to hold a press conference this afternoon, where he mentioned that his speech was prepared before the weekend and therefore does not include his views on the Middle East situation. Wakatabe stated that recent data "indicates that the impact of a near-term rate hike remains limited for now, and the financial environment remains accommodative," suggesting there is still room for borrowing costs to rise. He also noted that underlying inflation is steadily increasing and reiterated the Bank of Japan's long-standing stance that it will continue raising rates if its economic outlook materializes.