Inflation & Prices
Tokyo Inflation Slows Sharply as Subsidies Mask Ongoing Strength
- Robust trend keeps scrutiny on BOJ policy outlook under Ueda
- Government aid suppressing inflation by 1.1 percentage point
Friday’s inflation data reflected the impact from Prime Minister Fumio Kishida’s latest stimulus package.
Photographer: Noriko Hayashi/BloombergThis article is for subscribers only.
Inflation in Tokyo decelerated for the first time in more than a year, as ramped-up government subsidies masked a strengthening price trend that will keep scrutiny on the Bank of Japan’s policy path under the likely leadership of Kazuo Ueda.
Consumer prices excluding fresh food rose 3.3% from a year earlier in the capital in February, slowing a full percentage point from the previous month and in line with economists’ forecast.