Japan Finance Minister: Too early to consider reviewing gov’t-BOJ inflation statement

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A man walks at the headquarters of Bank of Japan in Tokyo

TOKYO (Reuters) – Japanese finance minister Shunichi Suzuki on Tuesday said it is not yet time to debate a possible review of a joint statement the government and Bank of Japan (BOJ) issued in 2013 calling for the achievement of 2% inflation as quickly as possible.

Sources previously told Reuters that the government would consider revising the statement after a new BOJ governor is appointed in April, in a move market watchers expect to increase the chance of a tweak to incumbent Haruhiko Kuroda’s ultra-loose monetary policy.

After a decade of aggressive monetary stimulus, Japan continues to seek sustainable and stable inflation of 2% that accompanies wage growth. At present, the surging cost of living has driven the inflation rate to 41-year-high of 4%.

“The government and the BOJ are fully aware of the importance of wage growth,” Suzuki told reporters.

When asked about the need to review the joint statement, Suzuki said: “It’s too early to comment at the moment when the new BOJ governor is yet to be decided.”

(Reporting by Tetsushi Kajimoto; Editing by Christopher Cushing)

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