Is Japan finally overcoming deflation? ”Considering official declaration” = South Korean report

The Japanese government is considering officially declaring an end to deflation for the first time in 23 years since the Japanese government admitted in 2001 that the economy was in a state of ``moderate deflation (falling prices amid economic stagnation).''
Kyodo News reported on the 2nd. This is because global inflation has caused Japan's prices to rise, and the conditions for escaping deflation have been met. The Japanese government has announced the results of spring labor negotiations, the spring wage negotiations, and the outlook for prices.
After monitoring the situation, the government plans to consider whether or not it is possible to escape from deflation. There are proposals for Prime Minister Kishida and related cabinet ministers to hold a press conference and make an announcement, or to specify it in the monthly economic report, which summarizes official opinions on economic trends.
It's going up. Until the early 1990s, Japan was the world's second largest economy after the United States, and had great global influence. However, due to the abnormal increase in asset values and overheating,
economic activity has weakened, and growth has virtually stopped for the past 30 years. Literally, the "bubble" bursts, resulting in a vicious cycle of falling prices, deteriorating corporate performance, stagnant wage increases, and slumping personal consumption.
followed. The Japanese government has emphasized that a price increase of 2% or more is necessary to break out of deflation, but Russia's invasion of Ukraine caused global raw material prices to skyrocket, causing Japan's consumer prices to rise.
has also increased significantly recently. Japan's consumer price index (excluding fresh food) in 2023 increased by 3.1% compared to the previous year, marking the highest rate of increase in 41 years since 1982. This year 1
Consumer prices rose by 2.0% in May as well. Kyodo News also reported that the demand shortage in the Japanese economy as a whole has been almost eliminated.
Bank of Japan Governor Ueda spoke about price trends at the House of Representatives Budget Committee on the 22nd of last month.
``We are in a state of inflation, not deflation,'' Prime Minister Kishida said when the Nikkei 225 average stock price hit a new market high for the first time in 34 years and two months, ``Japan's economy is now starting to pick up steam.''