More from Bank of Japan Governor Ueda

  • There is no statistical evidence that interest rate levels have direct correlation with wage moves
  • Longer run, it's important to heighten labour productivity to push up inflation-adjusted real wages
  • As for monetary policy, it can help raise wages via tighter labour market conditions by keeping real interest rates low and stimulating economy

Earlier here:


Also, remarks from Japan finance minister Suzuki:

  • See June next year as critical timing where Japan can see inflation-adjusted real wages turn positive
  • We do not expect tax cut, which is part of scheduled economic package, to continue for several years

Suzuki expects positive real wages in June. Sheesh. How long after that until wages start boosting inflation? If they do. BOJ loose forever?

udea suzuki incheon South Korea 03 May 2023

Ueda and Suzuki