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MNI BRIEF: BOJ Kuroda: Rapid Import Price Rise Bad Inflation

(MNI) Tokyo
TOKYO (MNI)

Bank of Japan Governor Haruhiko Kuroda said on Friday that a rapid gain in import costs caused by higher commodity prices is a bad price rise, although he repeated a weak yen will have positive impact on Japan’s economy as a whole.

The "foreign exchange rate should move stably reflecting economic fundamentals,” he said, see: MNI INSIGHT: Few BOJ Tools As Weak Yen Drives 'Bad' Prices Up.

Kuroda said that he does not see the need for the BOJ to raise interest rates to address higher prices as Japan's situation differs from that of the U.S. and Europe. Kuroda also brushed off the view that Japan, the U.S. and Europe will fall into stagflation.

MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com
MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com

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