Japan PM Contender Takaichi Advocates for Continued BOJ Monetary Easing

Sanae Takaichi urges the Bank of Japan to delay interest rate hikes to support economic recovery as she vies for leadership of the ruling party.

Sanae Takaichi, a leading candidate in Japan's ruling Democratic Party leadership race, calls for the BOJ to maintain its ultra-easy monetary policy.
Takaichi argues that raising interest rates now would hinder economic recovery and make it difficult for young people to secure home loans and for businesses to invest.
Despite inflation surpassing the BOJ's 2% target, Takaichi notes that core inflation, excluding fresh food and energy, remains below this level.
The BOJ has already raised interest rates twice this year but is expected to hold steady in its upcoming meeting, with further hikes anticipated later in the year.
Takaichi's stance aligns with her advocacy for the aggressive economic stimulus policies of former Prime Minister Shinzo Abe, positioning her as a strong contender in the upcoming election.