Tokyo, May 23 - Japan's core consumer inflation reached 3.5% in April, marking its fastest annual increase in over two years. The data, released on Friday, intensifies pressure on the Bank of Japan (BOJ) to continue raising interest rates.
The rise in the core consumer price index (CPI), which excludes fresh food but includes oil products, surpassed market forecasts. It has remained above the central bank's 2% target for more than three years. Another index, excluding fuel and fresh food, rose 3.0% in April, accelerating from 2.9% in March.
The Bank of Japan ended its decade-long stimulus program last year and raised short-term interest rates to 0.5% in January. However, the potential economic impact of tariffs has complicated decisions regarding the timing of further rate increases.