Ueda hints at exit of easy policy before real wages rise

Ueda said the pass-through of rising import prices must dissipate and that wages and inflation needed to rise in tandem for the BoJ to consider exiting ultra-easy policy. — Reuters

TOKYO: Bank of Japan (BoJ) governor Kazuo Ueda says the central bank does not necessarily need to wait until inflation-adjusted wage growth turns positive before it ends ultra-loose monetary policy.

“Real wages would likely have turned positive when a positive wage-inflation cycle kicks off,” Ueda said.