Loading...
Bank of Japan Governor Kazuo Ueda stated that the potential inflation rate is very close to the 2% target, and anchoring the potential inflation rate near the 2% target level is becoming increasingly important. The Middle East conflict has pushed up material costs, while tight labor markets and moderate economic recovery have brought demand driven price pressures. The strong global demand for artificial intelligence has boosted capital expenditures and exports, and pushed up commodity prices. Kazuo Ueda believes that raising interest rates at an appropriate pace can help avoid drastic fluctuations in bond yields.