© Reuters. Bank of Japan (BOJ) Governor Haruhiko Kuroda speaks during an interview with Reuters in Washington, U.S., October 19, 2019. REUTERS/Carlos Jasso/Files
TOKYO (Reuters) – Bank of Japan (BOJ) Governor Haruhiko Kuroda said on Friday that unless energy prices fall sharply, the country’s core consumer inflation is likely to stay near the central bank’s 2 percent target for 12 months.
But he told parliament that price increases may not be “sustained and steady” unless accompanied by wage increases, suggesting that a near-term rise in inflation alone will not lead to an immediate withdrawal of monetary stimulus.