Updated: 07/13/2012 01:51

BoJ eyes 2.2% growth, holds off further easing

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The Bank of Japan has said it expected the world's third-largest economy to expand by 2.2 percent in the fiscal year through March 2013 as it held off ushering in fresh stimulus.

That's slightly lower than its April outlook of 2.3-percent growth.

The Bank of Japan is keeping its monetary policy unchanged and maintaining its view that the country's economy is gradually picking up.

This, signalling its conviction that solid domestic demand will help an economic recovery without additional stimulus.

As widely expected, the central bank maintained its key policy rate in a range of zero to 0.1 percent.

The BOJ has fine-tuned its asset-buying and lending programme, pledging to buy more short-term securities while reducing the amount it offers under fixed rate.