Rate Hike in Japan Is Likely Within a Year: Former BOJ Executive
- Hayakawa says BOJ will move once ‘core core’ inflation hits 1%
- Trump attacking Japan for weak yen poses risk for BOJ, he says
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The Bank of Japan is likely to raise its yield target within a year, according to the central bank’s former chief economist, who says inflation is accelerating faster than expected.
The BOJ will adjust its target for 10-year government bond yields after gains in consumer prices excluding fresh food and energy reach 1 percent, said Hideo Hayakawa, who left the BOJ in 2013 after more than three decades. This "core core" inflation gauge is now at 0.5 percent.