Japan PM, BoJ chief to meet as tax hike pain persists

Speculation is mounting ahead of a meeting between Japan's prime minister and the head of the central bank as to whether the Bank of Japan will have to ramp up its stimulus programme and if the government will go ahead with another sales tax hike - Reuters Photo.

TOKYO: Japan's prime minister will meet the head of the central bank on Thursday to exchange views on the economy, sources with knowledge of the meeting said, amid lingering worries over a prolonged drop in consumption after an April sales tax hike.

The first such meeting since April comes ahead of Prime Minister Shinzo Abe's crucial decision on whether to proceed with a second sales tax hike planned for October next year.