DURING the recent Bank of Japan (BOJ) monetary policy meeting, the BOJ stood pat on its monetary policy but the prospect of a Federal Reserve rate hike is expected to keep the yen weak against the dollar.

Japan benefits from a weak yen as it bolsters the country's export price competitiveness. The United States is Japan's largest trading partner and the dollar-yen influences the level of exports and imports between the two countries.

The Bank of Japan had previously launched an unprecedented monetary easing, spurring the dollar-yen to multi-year highs in a bid to revive Japan's economy.