BOJ Must Raise Interest Rates Nimbly, Says Hawkish Board Member Takata

Tokyo's Bank of Japan (BOJ) must raise interest rates nimbly after carefully assessing domestic financial conditions and international developments, according to BOJ board member Hajime Takata. He emphasized that the central bank should demonstrate its determination to prevent price increases.

Takata was a sole dissenter in July when the BOJ decided to keep short-term interest rates steady at 1%. He advocated for a rate hike to 1.25% to address potential inflationary risks from external demand shocks. The hawkish board member spoke about his views during a speech to business leaders in Sapporo, northern Japan.