25-01-2008

Data shows Japanese inflation increase

News by Adfero for Simply Business - independent providers of public liability insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.

Consumer prices in Japan are rising at a rate not seen for nearly ten years, it has been claimed.

According to new data released by the government, under the national core consumer price index (CPI), over the period of a year - calculated up to December 2007 - inflation increased by a rate of 0.8 per cent compared to the same point in 2006.

"Looking ahead, the economy will likely expand moderately under stable prices towards the next fiscal year," said Hiroko Ota, Japan's minister for economics.

"Based on such judgment, we firmly believe that we can continue to realise stable economic growth by providing the current accommodative monetary conditions for a while."

The increase in the rate of CPI has been blamed - not on consumer spending - but instead on increases in the cost of energy and food, excluding fresh produce.


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