BOJ debated need for more rate hikes at September meeting, summary shows

Business Recorder reported that some Bank of Japan policymakers wanted faster rate increases, or wanted to bring the policy rate nearer to the central bank's goal sooner, according to a summary of opinions from the September meeting published on Thursday. Most of the views backed following through on September's rate increase with further hikes, as price pressures build. One member said that if prices were seen drifting above the target, the bank would need to quicken its tightening.

Several opinions noted that underlying inflation had already reached the BOJ's 2% target or was nearly there. One participant argued that, although the bank had no need for rushed moves, raising rates would help guard against prices climbing too far and staying elevated, with underlying inflation expected to hit 2% soon.

The summary came after the BOJ lifted its policy rate to a 31-year high in September. The governor described a fresh stage in which the priority is preventing inflation from exceeding the goal, which leaves room for additional rate rises.