Japan has kept its key interest rate at 0.5% for the 20th consecutive month - amid continued worries about the global financial crisis.
The spread of the woes from the US to Europe and beyond is a worry for Japan, which relies heavily on exports.
Japan's central bank voted unanimously to hold the rate citing a "sluggish" economy and high inflation.
Last month, Japan reported its first trade deficit since November 1982.
The decision by the Bank of Japan came after the Reserve Bank of Australia cut its official interest rate by one percentage point to 6%.
But analysts said that Japan was unlikely to lower its main rate anytime soon, given it was already so low.