BoJ’s Ueda: Would like to leave some scope for adjustment by not pre-committing to a certain policy too much

Bank of Japan (BoJ) Governor Kazuo Ueda commented on the Japanese wage negotiations and their implication on the central bank’s policy this Tuesday.

Key quotes

Annual wage negotiations have been, and always will be, among important economic variables we look at in setting policy.

We decide on policy looking not just at wage talks, but various other economic variables.

We decided to change policy in March because strong wage talk outcome came on top of fairly solid readings in other sectors of economy.

Whether we will set policy with same emphasis on wage talk outcome will depend on conditions at the time.

Hard to say beforehand how long boj should wait in gathering enough data to change policy.

We would like to leave some scope for adjustment by not pre-committing to a certain policy too much.