TOKYO, Dec 2 (Reuters) – Japanese Finance Minister Satsuki Katayama said on Tuesday she sees no gap between the government and the Bank of Japan on their assessment of the economy, after the central bank chief voiced confidence in the outlook and hinted at a rate hike.
“We believe there is no discrepancy between the BOJ’s and government’s view that the Japanese economy is recovering modestly, so we don’t see this as a problem,” Katayama said at a regular press conference, when asked about BOJ Governor Kazuo Ueda’s comments on Monday.
Ueda said on Monday the BOJ would consider the pros and cons of raising interest rates at its next policy meeting in December, offering the strongest hint so far that a hike may materialise this month.
Katayama said she expects the BOJ to continue working closely with the government and conduct monetary policy to achieve a 2% inflation target, accompanied by wage increases.
“At this point, given those expectations, I have nothing further to add,” she said.
“Looking ahead, we need to monitor whether price increases will persist, as well as developments in U.S. trade policy. In addition, given the various fluctuations in global financial and capital markets, we must closely watch corporate trends.”
(Reporting by Makiko Yamazaki; Editing by Tom Hogue and Thomas Derpinghaus)
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