Japan faces mounting risk of prolonged inflation, Daiwa warns
Daiwa Securities economist Kento Minami says renewed oil-price gains and ongoing corporate cost pass-through could prolong inflationary pressure in Japan, with crude oil moves expected to feed into electricity bills starting early 2027.
Daiwa Securities economist Kento Minami said renewed gains in oil prices and continued corporate pass-through of costs are increasing the risk of prolonged inflationary pressure in Japan. He said the recent surge in crude oil prices will likely begin to feed into electricity bills in early 2027.