By Megumi Fujikawa
TOKYO--Japan's consumer price growth picked up in December, adding to evidence of steady inflation just hours before the central bank announces its rate decision.
Overall consumer prices rose 3.6% in December from a year earlier, compared with the 2.9% growth seen in November, government data showed Friday. The index excluding volatile fresh food and energy prices, a measure of underlying inflation, rose 2.4%, the same pace recorded in the previous month.
The strong figures will likely reinforce the view that the Bank of Japan will raise its policy rate to 0.5% from 0.25% at its closely-watched meeting ending later Friday.
Consumer inflation has been above the central bank's target of 2% for more than two years, and BOJ policymakers have been growing more confident about wage trends in Japan, which will likely help keep inflation stable.
The BOJ is also scheduled to release fresh inflation projections later in the day. In its previous outlook report, the bank's policy board expected inflation to stay near the 2% target at least until the fiscal year ending March 2027.
Write to Megumi Fujikawa at megumi.fujikawa@wsj.com
(END) Dow Jones Newswires
01-23-25 1901ET