BOJ's Himino Warns of Inflation Risks as He Calls for Timely Rate Hikes

Bank of Japan Deputy Governor Ryozo Himino emphasized the importance of raising interest rates in a timely manner to avoid a spike in inflation. In a speech to business leaders, Himino noted that if underlying inflation deviates above the 2% target, it would have an adverse impact on the economy.

Himino stressed the need for greater attention to upside risks to prices and suggested holding in-depth deliberations at each monetary policy meeting with these perspectives in mind. He warned that abrupt rate hikes might be required if inflation exceeds the target.