The Bank of Japan has suggested it remains on track for more interest rate hikes by leaving its economic assessments intact for all regional economies after it raised borrowing costs last month to the highest in three decades.
“All nine regions reported that their respective economies have been recovering moderately, picking up, or picking up moderately, although some weakness had been seen in part,” the BOJ said in its quarterly regional report Thursday.
In a separate release summarizing the views of branch managers who met to discuss the report, the bank said many firms see the need to hike wages in the coming fiscal year on a scale similar to the increases undertaken in the current fiscal year through March. This year saw the most generous pledges from employers in spring wage negotiations in more than three decades.