Tokyo - The Bank of Japan (BOJ) decided on Tuesday to keep its key short-term interest rate unchanged at 0.5 per cent.

The central bank's policy board agreed unanimously to maintain the base rate at the end of a two-day meeting due to concerns over rising fuel prices.

As inflation concerns mount, BOJ revised its estimate for the nation's economic growth for fiscal 2008 to 1.2 per cent, from an earlier projection of 1.5 per cent.

The board also revised its estimate for growth in the fiscal 2008 consumer price index to 1.8 per cent from 1.1 per cent. (dpa)