Japan's economy is likely to continue recovering moderately for the time being, supported by factors such as the materialization of pent-up demand, although it is expected to be under downward pressure stemming from a slowdown in the pace of recovery in overseas economies. Thereafter, as a virtuous cycle from income to spending gradually intensifies. Japan's economy is projected to continue growing at a pace above its potential growth rate. • The year-on-year rate of increase I the consumer price index (CPI, all items less fresh food) is likely to be above 2 percent through fiscal 2024, mainly due to the remaining ... (full story)

Japan's economy likely to continue recovering moderately. • Inflation likely to slow, then re-accelerate as wages rise, inflation expectations heighten. • Uncertainty over Japan's economic, price outlook very high . • Must be vigilant to financial, FX market moves and their impact on Japan's economy, prices. • Risks to price outlook skewed to upside for fiscal 2023. • Must scrutinize whether positive wage-inflation cycle will strengthen. • Board's core-core CPI fiscal 2023 median forecast at +3.8 % vs +3.2% in July. • Board's core-core CPI fiscal 2024 median forecast at +1.9% vs +1.7% in July. • Board's core-core CPI ... (full story)