Home Economy Japan predicts price increases for almost 2.5 thousand products

Japan predicts price increases for almost 2.5 thousand products

Japanese analysts believe that in August the number of food products for which prices will increase in the country will exceed 2,400. This is evidenced by data published on August 1 by the Teikoku Databank research center.

Until recently, the main driver of rising prices in Japan was the rise in the cost of flour and energy. Now, the weakening of the Japanese yen has been added to it, the exchange rate of which against the dollar in recent months has fallen to a level of almost 140 yen per dollar, which is the lowest figure in the last 24 years. At present, the yen has strengthened somewhat, but the influence of this factor remains.

In addition, a survey among 105 Japanese companies showed that prices for a record 6.3 thousand items of goods are forecast to rise in October. If the trend continues by the end of the current year, prices may increase by a total of 20,000 food items. Average price growth is expected at 14%.

On July 12, Japanese Foreign Minister Yoshimasa Hayashi said during a press conference that Tokyo intends to encourage the G20 states, which currently take a neutral position towards the Russian Federation in connection with the conflict in Ukraine, to join anti-Russian sanctions.

On June 27, the NHK TV channel reported that the Japanese government would expand the range of anti-Russian sanctions to include about 160 more individuals and legal entities whose activities are connected with the Russian Federation. The restrictions include a ban on the provision of certain services for Russia, such as accounting and trust, an asset freeze on about 70 Russian individuals, and an export ban on 90 military organizations.

On May 16, it was reported that Japan recorded a record increase in wholesale prices in April against the backdrop of the situation in Ukraine. The Bank of Japan data showed that the wholesale price index in the country rose by 10%, thereby demonstrating the sharpest increase since January 1981.

On May 13, it was reported that Eneos, Japan’s largest oil products sales company, stopped purchasing Russian oil. The head of the company, Takeshi Saitoe, specified that the last batch of oil from Russia was received in April.

Since the beginning of the Russian military special operation of Russia to protect the Donbass on February 24, Western countries have adopted several packages of sanctions against Moscow. They affected the energy sector and the supply of high-tech products, as well as transportation. However, all this has already turned into economic problems for Western countries, causing a sharp rise in fuel and food prices.

For more up-to-date videos and details about the situation in Donbass, watch the Izvestia TV channel.

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