Kato is described as a "ruling party heavyweight". He is a former chief cabinet secretary and is seen by some analysts as a candidate to become future prime minister. Kato spoke with Reuters: • Japan is seeing conditions fall in place for the central bank to normalise monetary policy. • Bank of Japan must keep a close eye on economic conditions and coordinate carefully with the government in working out when to raise rates. • "Japan is shifting to an era where prices and wages rise, from one where both barely moved,". • "It's therefore natural for monetary policy to revert to the original style in which interest ... (full story)

Japan is seeing conditions fall in place for the central bank to normalise monetary policy, ruling party heavyweight Katsunobu Kato told Reuters, underscoring growing political support for further interest rate hikes. But Kato said the Bank of Japan (BOJ) must keep a close eye on economic conditions and coordinate carefully with the government in working out when to raise rates. "Japan is shifting to an era where prices and wages rise, from one where both barely moved," said Kato, a former chief cabinet secretary and a ruling party veteran seen by some analysts as a candidate to become future prime minister. ... (full story)