BOJ members express concern about weak Tokyo CPI

[TOKYO] Some Bank of Japan board members expressed concern about weak gains in Tokyo consumer prices and said this should be monitored to see what implications there are for nationwide consumer prices, minutes of the central bank's May 21-22 policy meeting showed on Wednesday.

However, many members agreed that the underlying price trend remained intact and the BOJ is likely to meet its 2 per cent inflation target around the first half of fiscal 2016, the minutes showed.

Members also said industrial production could weaken for the time being, but the economy would remain on a recovery path due to strong domestic demand, the minutes showed.

The BOJ has stood pat on monetary policy since expanding stimulus in October last year to prevent slumping oil prices, and a subsequent slowdown in inflation, from delaying achievement of its 2 per cent inflation target.

REUTERS