Ex- BoJ Dep Gov Nakaso: Labor productivity hampering inflation - Reuters

As reported by Reuters, ex-Bank of Japan (BoJ) Deputy Governor Hiroshi Nakaso stated that increased workplace participation and improving labor productivity is keeping inflation on the low end.

Key quotes

“Labor productivity in Japan ... is improving quite steadily in recent years. Meanwhile, real wages are also rising but not catching up with the improvement in labor productivity,” Nakaso said in a seminar hosted by the International Monetary Fund in Tokyo.

“Along with increased labor-force participation, improvement in labor productivity is an important factor underlying Japan’s seemingly low inflation,” he said.