At a press conference following the G20, U.S. Treasury Secretary Bessent named Japan and criticized the continuation of its reflationary policy, calling for a review of aggressive fiscal policy and measures to stabilize Japan-U.S. interest rates and exchange rates. In response, Japan has indicated the possibility of a rate hike at a future monetary policy meeting.
On the 1st, U.S. Treasury Secretary Bessent stated at a press conference following the close of the G20 Meeting of Finance Ministers and Central Bank Governors that Japan should stop its reflationary policy. This effectively amounted to a call from the United States for a review of aggressive fiscal policy and a Bank of Japan rate hike to correct the yen's depreciation.
On the 2nd, following a meeting with Governor Kazuo Ueda (植田和男) and Finance Minister Katayama (片山), the U.S. Treasury issued a statement strongly supporting Japan's taking market and monetary policy measures with the yen's depreciation and the dollar's strength in mind.
On the 3rd, Governor Ueda said he wanted to "discuss thoroughly" the possibility of a rate hike at meetings including the next monetary policy meeting, drawing attention to future policy developments.