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The Bank of Japan surprised by keeping policy unchanged at this month's meeting. The BoJ did downgrade its growth and inflation forecasts, pushing back again its timeline for hitting 2% inflation to fiscal year 2017. But Governor Kuroda said the board had decided to keep watching the impact of its January move to negative rates at today's meeting. He also said the central bank had not considered allowing banks to borrow from the BoJ at negative rates as Bloomberg last week had reported would be discussed.
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