According to Jinshi Data, a document submitted by Bank of Japan Governor Kazuo Ueda to a government panel showed that the central bank will continue to raise interest rates if the economy and prices perform in line with expectations.

Ueda submitted documents on Tuesday explaining the BOJ’s July policy decision to the government’s economic and fiscal policy panel, which is chaired by Prime Minister Fumio Kishida.

After the news that Kazuo Ueda maintained his stance on raising interest rates, the yen strengthened slightly against the US dollar to around 146.20.

The document shows that Kazuo Ueda believes that with real interest rates still significantly negative, the economic environment will remain loose even after the July interest rate hike. The document also noted that the central bank adjusted its easing level in July because the economy and price trends were in line with the central bank's forecast outlook and there were upward risks to prices.