BOJ to keep raising rates if economy improves, Governor Ueda says

TOKYO (Reuters) -Bank of Japan Governor Kazuo Ueda said on Friday the central bank will continue to raise interest rates if improvements in the economy keep the country on track to durably achieve its 2% inflation target.

“Underlying inflation may stagnate due to a slowdown in economic growth, but likely to accelerate thereafter as intensifying labour shortages heighten medium- to long-term inflation expectations,” Ueda said in a speech.

(Reporting by Leika Kihara; Editing by Jacqueline Wong)