A May BOJ Hike Would Be Too Early Given Tariffs, Wages, DPP Says

A Bank of Japan rate hike in May would likely be too early given the need to assess the impact of US tariffs set to come into effect in early April and ongoing wage talks, according to the policy chief of a small but powerful opposition party.

“That judgment needs to be based on a thorough understanding of the impact of the US tariff policies, as well as how regional economies are faring and whether smaller businesses are raising wages,” Kazuya Shimba, Secretary General of the Democratic Party for the People told Bloomberg on Tuesday, adding that a May rate hike would be too early.