BoJ's Nakagawa says the Bank expects to continue raising rates as economy, prices improve

Bank of Japan policy board member Junko Nakagawa stated that the BOJ expects to continue raising interest rates as the economy and prices improve. She highlighted the careful balancing of global trade uncertainties, particularly U.S. tariffs, against firming inflation expectations. Despite challenges, Japanese firms show strong capital spending confidence. Overall consumption remains stable, although spending on non-durable goods has weakened due to rising food prices. Nakagawa noted that medium- to long-term inflation expectations are approaching the 2% target, reflecting a patient, data-driven approach to monetary policy.