BOJ Eyes Faster Rate Hikes Amid Inflation Concerns
The Bank of Japan's (BOJ) policymakers are considering raising interest rates more quickly to combat persistent inflationary pressures, according to a summary of opinions from its September policy meeting.
The BOJ raised its policy interest rate to a 31-year high in September, and Governor Kazuo Ueda signalled that the central bank had entered a new phase where policymakers would pay closer attention to the risk of inflation overshooting its target.
Most policymakers supported further interest rate increases, with several arguing that underlying inflation has already reached or is approaching the BOJ's 2% target. However, some policymakers cautioned against acting hastily, suggesting that rates should eventually be raised to prevent excessive and prolonged price increases.