Japan’s main inflation has reached the highest level since January 2023, exerting pressure on Boj to raise rates

In May, the main level of inflation of Japan rose to 3.7%, which noted its highest level since January 2023 and exerting greater pressure on the Japanese Bank to increase the inflation rate.

The figure – which deprived the cost of fresh food – was higher than 3.6%, which are expected by economists, Reuters surveyed, and above April 3.5%.

Rice prices affected 101.7% a year, which is the greatest increase in more than half a century.

Japan’s rice prices have been the focus recently, and the government has released extraordinary reserves to mitigate the price of basic food in the country.

Capital inflation was 3.5%, below 3.6% in April. This notes the 38th month, which has been inflation above 2% of the Boj target.

The so -called “basic” inflation rate, which deprives the prices of both fresh food and energy and is carefully monitored by BOJ, increased to 3.3% from 3% a month earlier.

Inflation figure comes as a central bank were rates on 0.5% After meeting with the monetary policy earlier this week, although she was said in her statement This moves to move on the sale of prices, continuing, propping up basic inflation.

Battle of cattle kazuo ueda It is reported that last week in the Japanese Parliament that the Central Bank will continue to raise the rates, “if we have more conviction that the main inflation will approach to 2% or will be held around this level.”

However, the bank predicts that inflation is expected to decline forward, adding that “the main inflation of the IPC is likely to be sluggish, mostly from the slowdown in the economy.”

Separately GDP Japan also declined by 0.2% In the quarter ended March Compared to the previous period when exports decreased, noting for the first time in a year when the economy was a quarter.