Japanese firms expect CPI to rise 0.9% a year from now

Japanese companies expect consumer prices to rise an average 0.9% in the next 12 months, firms polled by the Bank of Japan (BOJ), as part of its detailed “Tankan” survey for June, showed on Tuesday. 

Three months ago, companies expected prices to rise 0.9 percent over the next year, according to Reuters. 

Firms also said they expect prices to rise an annual 1.0% in three years from now and an annual 1.1% five years from now.

All-in-all, the BOJ is unlikely to achieve its 2 percent inflation target any time soon. The central bank, therefore, has little room to normalize its ultra-easy moneytary policy in the near future.