Bessent Backs BOJ Chief Ueda on Japan's Economic Recovery

U.S. Treasury Secretary Scott Bessent expressed confidence in Bank of Japan Governor Kazuo Ueda's ability to make decisions that benefit the country's economy, according to public broadcaster NHK.

In an interview with NHK, Bessent attributed some of Japan's recent inflationary pressures to a weak yen and high energy prices. He stated that as these factors improve, Japan's inflation is expected to slow down.

Bessent noted that as energy prices decrease and excessive yen weakness is addressed, the country will enter a 'virtuous cycle', allowing both Japan and the yen to stabilize. His comments were made in response to questions about Japan's economic situation.