Japan advisers urge income and productivity gains beyond BOJ inflation goal
Four private-sector experts on a government panel said consumption remains weak, while the government has not formally declared an end to deflation.
BOJ's Asada cautions against near-term interest rate hike
Asada said growth and consumption lacked momentum despite positive real wages, and questioned whether demand was driving recent price increases.
Bank of Japan policymaker Toichiro Asada on November 12 opposed calls by fellow board members to raise interest rates soon, saying an increase made too early could damage growth and weaken underlying inflation.
Speaking to business leaders in Nagasaki in southern Japan, Asada urged the central bank to carefully assess how quickly it raises rates. He said both previous increases and future tightening risked weighing on economic activity and underlying inflation.
Asada also acknowledged the potential economic harm from inflation rising above the BOJ's 2% target. However, he said demand was not necessarily behind recent price increases, while growth and consumption still lacked momentum.
He welcomed data indicating that real wages had turned positive since the beginning of 2026. Asada, who voted against rate increases in June and September, emphasized the need to avoid slowing growth by tightening policy too rapidly.