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Financial News: BoJ Summary: Inflation Likely To Rise In H2

BoJ Summary: Inflation Likely To Rise In H2 2021

06/28/2021 - 01:45:00 (RTTNews)

(RTTNews) - Japan's inflation is likely to rise in the second half of 2021 as pent-up demand starts materializing, Bank of Japan policymakers said at the monetary policy meeting held on June 17 and 18.

According to the summary of opinions, inflation is set to be around zero percent in the short run.

Inflation is expected to increase gradually, mainly on the back of continued improvement in economic activity, a rise in energy prices, and a dissipation of the effects of a reduction in mobile phone charges.

Nonetheless, inflationary pressure is expected be only transitory due to an entrenched deflationary mindset.

As vaccinations have been progressing rapidly of late, Japan's economy is expected to recover to a certain extent in the short run, a member said.

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