- Japan needs new economic framework in which BOJ raises rates, government restores fiscal health
- Better to start early for BOJ when it comes to rate hikes
- Japan must reverse weak yen, seek a somewhat stronger currency
- BOJ must gradually raise rates as it is undesirable to keep real borrowing costs negative for a prolonged period
The pressure is certainly starting to grow for the BOJ to take action. But as has been the case since Ueda took charge, they’ve been more than willing enough to bide their time. The central bank could’ve took their first step in late 2023 but waited on the spring wage negotiations before moving in March 2024
Japan veteran lawmaker calls on BOJ to “start early” on interest rate hikes