Bank of Japan Deputy Governor Kikuo Iwata, speaking at a meeting with business leaders in Sapporo
- Sees economy is on gradual recovery path
- Says no need to change BOJ's commitment to hit inflation target at earliest date possible with timeframe of around 2 years
- Exports are recovering, benefiting from a recovery in overseas economies and the weak yen
- Underlying trend in inflation improving steadily due to effects of BOJ policy
- Capital expenditure is showing clear signs of increasing
- Sales tax hit on demand slowed inflation with effect having lasted longer than expected
- Says pressure from sales tax hike on demand diminishing
Industrial production recovering due to firm consumer spending and exports
Inflation to accelerate gradually accompanied by wage rises
There are stronger signs that companies cannot hire enough workers
Growth could slow below potential in fy 2017 due to next sales tax hike
Headlines via Reuters
