Bank of Japan chief Kazuo Ueda said Monday that he and Prime Minister Sanae Takaichi discussed economic and monetary issues in their first talks since the ruling party’s landslide win in the House of Representatives earlier this month.
“We exchanged views on economic and monetary situations in general,” Ueda told reporters after what he described as a “regular” meeting with Takaichi, adding that the prime minister made no request regarding the BOJ’s monetary policy.
The Liberal Democratic Party secured more than two-thirds of seats in the Feb 8 election, giving Takaichi a freer hand to implement expansionary fiscal spending in a bid to achieve strong economic growth.
Market observers are watching closely for hints on the timing and degree of the BOJ’s next rate hike after the central bank’s key interest rate was left unchanged at its meeting in January. At the time, it cited the need to examine the impact of a hike to a 30-year high of 0.75 percent the month prior.
