The latest government data showed that wages adjusted for inflation fell for the seventeenth consecutive month in August.

Asahi Noguchi, a member of the Bank of Japan’s board of directors, said on Thursday that the Bank of Japan’s raising of the maximum yield on 10-year Japanese government bonds to 1% from 0.5% in July was not a monetary tightening.

Noguchi said the central bank will contain excessive increases in bond yields that are not supported by higher inflation expectations.

He stated that until consumers are sure that their real wages, which are adjusted for inflation, will keep increasing, they will probably be reluctant to spend.

He said, “It is the Bank of Japan's mission for the time being to realize such a situation as soon as possible by patiently continuing monetary easing”.

The latest government data showed that wages adjusted for inflation fell for the seventeenth consecutive month in August.