Bank of Japan Policy Board member Takata (高田) suggested in a speech that a new phase of flexible interest-rate hikes may be approaching. Takata also referred to the possibility that the situation in the Middle East and rising AI demand could pose risks to prices.
Bank of Japan Policy Board member Takata (高田) said in a speech that the Bank envisioned entering a new phase in which interest-rate hikes would be implemented flexibly in response to economic conditions. The remarks were reported as intended to emphasize flexibility in the conduct of monetary policy.
The speech identified escalating tensions in the Middle East and expanding AI demand as risk factors for higher prices, with their potential impact on future price trends also noted.