BOJ Independence a Priority for Japan's Takaichi Amid Market Pressure

Japanese Prime Minister Sanae Takaichi's government is reassuring investors that it respects the independence of the Bank of Japan (BOJ), amid market concerns over rising bond yields, yen weakness, and the administration's growth-oriented fiscal agenda.

Finance Minister Satsuki Katayama said the government's relationship with the BOJ remains 'normal and smooth,' pushing back against claims that Takaichi's administration is pressuring the central bank to delay further interest-rate increases.

Katayama emphasized that specific monetary policy decisions belong to the BOJ, while also emphasizing the need for clear communication with bond-market participants as Japan prepares its next fiscal budget.