Bank of Japan’s Ueda signals more rate hikes if economy stays on track
Bank of Japan (BOJ) Governor Kazuo Ueda indicated Friday that the central bank will implement additional interest rate increases if economic improvements keep Japan on course to sustainably reach its 2% inflation target.
In a speech, Ueda acknowledged that underlying inflation might temporarily stagnate due to slower economic growth.
However, he noted that inflation is "likely to accelerate thereafter as intensifying labour shortages heighten medium- to long-term inflation expectations."
The BOJ governor’s comments provide insight into the central bank’s monetary policy direction as Japan continues to navigate its inflation targets and economic growth patterns.
Source : Investing.com
