Bank of Japan Policy Board Member Masu Kazuyuki (増一行) gave a speech in Fukui, indicating that the Bank would continue raising the policy rate. He said the underlying rate of inflation would approach 2% and also referred to a policy of raising the rate to around 1.25% at the next monetary policy meeting.
Bank of Japan Policy Board Member Masu Kazuyuki (増一行) gave a speech in Fukui, saying that the Bank would continue raising the policy rate and adjust the degree of monetary easing. He pointed out that the underlying rate of inflation, excluding short-term factors, is drawing quite close to 2%.
At its June monetary policy meeting, the Bank of Japan decided to raise the policy rate to around 1.0%. It left rates unchanged at its July meeting. At the next monetary policy meeting, to be held on the 17th and 18th of this month, the Bank plans to raise the rate to around 1.25%, and attention is also focused on whether the pace of rate hikes will accelerate.
Although the speech avoided specifying a clear timeline for future interest-rate moves, it indicated a policy direction of raising the level of interest rates for the time being.