Takaichi Vows to Revitalize Yen with Economic Competitiveness Boost

Japanese Prime Minister Sanae Takaichi has pledged to strengthen market confidence in the yen, which has been experiencing weakness. This comes after previous currency-support measures had limited success.

A joint U.S.-Japan intervention and a Bank of Japan rate increase in September helped the yen gain 3.3% against the dollar during the third quarter, according to Deutsche Bank data.

However, analysts warn that further intervention may not produce lasting results, as markets expect possible future intervention. The weak yen has led to increased import costs and inflation concerns, while also raising worries about Japan's bond market.

Takaichi emphasized the importance of managing borrowing carefully and addressing fiscal needs to reduce Japan's debt-to-GDP ratio.