BOJ Official Warns Delay in Stimulus Adjustment Amid High Inflation Risk

A senior Bank of Japan (BOJ) official on Thursday cautioned that failing to adjust monetary stimulus in a timely manner, given the elevated inflation risk, may lead to an economic downturn.

The warning comes as the BOJ faces pressure to normalize its ultra-loose policy while balancing the need to support the fragile recovery. The official's remarks highlight internal concerns about the potential consequences of keeping rates too low for too long amid rising price pressures.