Key facts
- Japan's government is unified in its view that reflationary policy is over, Finance Minister Satsuki Katayama said.
- Katayama stated this in an interview aimed at reversing the yen's weakness against the U.S. dollar.
- U.S. Treasury Secretary Scott Bessent made no specific demands regarding Japan's monetary policy during a recent meeting.
- Bessent had previously called for Japan to "stop the reflation."
- Katayama emphasized the Bank of Japan's independence.
Japanese Finance Minister Satsuki Katayama emphasized on October 2, 2026, that Prime Minister Sanae Takaichi's government is unified in its view that reflationary policies are over. This statement is part of an ongoing effort to address the yen's historic weakness against the U.S. dollar.
In an interview, Katayama stated that the government's goal is to achieve both a strong economy and fiscal sustainability. She also addressed recent discussions with U.S. Treasury Secretary Scott Bessent, who had previously called for Japan to "stop the reflation" despite acknowledging the success of former Prime Minister Shinzo Abe's economic policies.