Some in Bank of Japan saw need to watch weak-yen impact on prices in timing rate hike: December minutes

[TOKYO] A few Bank of Japan board members said the central bank must be mindful of the impact a weak yen could have on underlying inflation in deciding when to raise interest rates again, minutes of its December meeting showed on Wednesday.

“Given current very low real interest rates, members agreed it was appropriate to continue raising interest rates if their economic and price forecasts materialise,” the minutes showed.

At the December meeting, the BOJ decided to raise interest rates to a 30-year high of 0.75 per cent, taking another landmark step in ending decades of huge monetary support and near-zero borrowing costs. REUTERS