Central Banks

BOJ Is Said to Heighten Focus on Price Impact of Weak Yen

Japanese yen banknotes arranged in Tokyo.

Photographer: Toru Hanai/Bloomberg

Bank of Japan officials are paying increasing attention to the yen’s potential impact on inflation, with possible implications for future rate hikes after a likely hold decision next week, according to people familiar with the matter.

The officials see the weak yen as a factor with growing influence, particularly as businesses become more inclined to pass on higher input costs to their customers, according to the people.