More than 80 percent of economists said the Bank of Japan will end negative interest rates next year

　　More than 80 per cent of economists believe the Bank of Japan will end its policy of negative interest rates next year, according to a Reuters poll, as a growing number believe the central bank is getting closer to exiting its ultra-loose monetary policy.

　　In a Nov. 15-20 survey, 22 of 26 economists, or 85 percent, thought the boj would end the policy by the end of next year. That's up from 63 percent in October and 52 percent in September. The other four chose "after 2025."

　　While none of the 26 economists predict the BOJ will change policy at its December meeting, many expect the negative rate policy to end next year. The negative interest rate policy sets Japan's short-term deposit rate at minus 0.1%.

　　At its October policy meeting, the BOJ revised its bond yield control policy, redefining 1.0% as a "ceiling" on yield curve control (YCC) with wiggle-room, rather than a strict ceiling. After easing the YCC, the BOJ's next priority is to end its negative interest rate policy and cut short-term interest rates to zero, sources have previously said.

　　The survey found that nearly 85 percent of respondents expected the BOJ to end the YCC policy, while the rest said they would adjust the program again.

　　More than half of the 22 economists surveyed, 12, think the BOJ will end negative rates at its April 25-26 meeting next year; Next, three people think July, two people think June, and one person thinks October.

　　Four firms - Capital Economics, the Institute for Economic Research, Mitsubishi UFJ Morgan Stanley Securities and T&D Asset Management - all said the BOJ would eliminate negative rates as early as January.

　　Hiroshi Minamioka, chief strategist and fund manager at T&D Asset Management, said: "By then, the fate of the boj's decision on short-term interest rates, taking into account inflation pressures and wage negotiation trends, will become clear." If inflation persists, negative rates will be raised as an 'inflation response,' and if inflationary pressures appear to be abating, negative rates will be raised as a 'continuation of easing,' with the boj likely to argue that setting short-term rates at 0.00% is considered accommodative."