Japan cabinet highlights progress in eradicating d

Ai Huicha, August 29: In the latest annual economic white paper, the Japanese government highlighted the progress it has made in eliminating deflation after 25 years, "We should not lose sight of the fact that the opportunity to end deflation is approaching." , and urged close cooperation with the Bank of Japan. The Japanese cabinet subtitled this year's white paper "Inflation, Wages in Action", the first reference to "inflation" in nearly 50 years. Economists are closely watching when and whether Japanese Prime Minister Fumio Kishida will announce an official end to deflation for possible implications for monetary policy. A statement by Fumio Kishida could spark speculation about normalization, as it would make it easier for BOJ Governor Kazuo Ueda to reverse the central bank's ultra-loose stance. While Japan's inflation has been running well above the central bank's 2 percent target this year, the white paper said the risk of a resurgence of deflation cannot yet be ruled out.