BOJ Not to Tolerate Further Inflation Rise above 2 Pct: Ueda

Bangkok, Oct. 16 (Jiji Press)--Bank of Japan Governor Kazuo Ueda said Friday that he cannot tolerate underlying inflation rising further above 2 pct.

Excluding temporary factors, the underlying inflation rate is quite close to the BOJ's 2 pct target, Ueda reiterated after a series of meetings, including a gathering of finance ministers and central bank chiefs from the Group of 20 major economies.

"Stabilizing inflation at around 2 pct is becoming more important than before," he said at a press conference in Bangkok, Thailand, suggesting that the BOJ will continue raising interest rates.

At its September policy-setting meeting, the BOJ decided to raise its policy rate to around 1.25 pct.

Ueda said that financial conditions remain accommodative.

[Copyright The Jiji Press, Ltd.]