The Bank of Japan (BOJ) maintained ultra-loose monetary settings on Tuesday in a widely expected move, underscoring policymakers' preference to await more clues on whether wages will rise enough to keep inflation durably around its 2 per cent target.

At the two-day meeting that ended on Tuesday, the BOJ maintained a 0.1 per cent interest charged on financial institutions' excess reserves, and a 0 per cent target for the 10-year government bond yield set under its yield curve control (YCC) policy. 

It also maintained the 1.0 per cent upper bound for the 10-year yield.

"The BOJ will continue to maintain the stability of financing, mainly of firms, and financial markets, and will not hesitate to take additional easing measures if necessary," the BOJ said in a statement, maintaining its dovish policy guidance.