A prime potential candidate to be Japan's next prime minister endorsed the Bank of Japan's policy of gradually raising interest rates, saying its normalization of monetary policy could push down prices and boost industrial competitiveness.
"The Bank of Japan is on the right policy track to gradually align with a world with positive interest rates," ruling party heavyweight Shigeru Ishiba said in an interview.
"The negative aspects of rate hikes, such as a stock market rout, have been the focus right now, but we must recognize their merits, as higher interest rates can lower costs of imports and make industry more competitive," he said.