IMF executive board supports BOJ's gradual rate hikes, citing strong economic resilience and inflation path to 2% by 2027.
The IMF warns that the Iran‑Iran war and a weakening yen approaching ¥160 per dollar heighten inflation and stagflation risks.
Finance Minister Satsuki Katayama cautions speculators, pledging all tools including non‑conventional intervention to stabilise the yen exchange rate.
Market participants price a 70% chance of a BOJ rate hike as early as this month.