TOKYO (Reuters) -Japanese Finance Minister Shunichi Suzuki reiterated on Tuesday that sharp currency moves were undesirable as the yen weakened to 20-year lows versus the dollar.
Suzuki made the comments before his trip to Washington to attend a gathering of financial leaders from the Group of 20 major economies this week.
He vowed to closely communicate with U.S. and other countries’ currency authorities to “respond appropriately” to currency movements.
Japanese authorities were carefully watching how the weakening yen may affect the economy, as stability in the currency market is important, he added.
The yen’s decline has worsened imported inflationary pressures in Japan amid a spike in global commodity and oil costs, and an exacerbation of supply snags, which have intensified in the wake of the Ukraine crisis.
Suzuki declined to comment on how the government and the Bank of Japan should respond to the yen’s weakening, including whether intervening in the market is an option.
(Reporting by Tetsushi KajimotoEditing by Shri Navaratnam)
