Japan is prepared to take action if necessary to counter excessive volatility in the foreign exchange market, Chief Cabinet Secretary Minoru Kihara said on Thursday. He emphasized that the government stands ready to respond to currency movements at any time, stating, “We are ready to respond appropriately to currency moves as needed, at any time.” He added that authorities will continue to monitor developments in the foreign exchange market closely.
Kihara noted that while a weaker yen supports manufacturers by enhancing export competitiveness and boosting corporate profits, it simultaneously raises import costs, increasing the burden on businesses and households through higher prices. “We need to scrutinize such effects comprehensively,” he said, underscoring the government’s balanced assessment of the currency’s overall impact on the economy.
