Bank of Japan (BOJ) Governor Kazuo Ueda said on Thursday that the central bank requires additional economic data before making decisions on future monetary policy, even as downside risks tied to United States tariffs on Japanese exports have eased.
Speaking after the BOJ voted to leave its benchmark interest rate unchanged, Ueda said recent increases in food prices were driven by “temporary factors” and are expected to moderate going forward. However, he stressed that the bank will continue to “monitor closely” any emerging risks to the economy and price outlook.
Ueda’s comments underscore the BOJ’s cautious stance as it navigates a fragile recovery, wage trends, and inflation dynamics, with markets watching for signals on the pace of policy normalization.
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