Japan finance minister warns of damage from inflation, vows steps as needed

Japan must respond to any damage inflicted on the economy by recent rising prices, Finance Minister Shunichi Suzuki said on Wednesday, a sign that the hit to households from the cost of living is emerging as a fresh headache for policymakers.

Suzuki said the recent rise in prices was driven mostly by higher global fuel costs, rather than any increase in import prices from a weak yen.

"If prices rise before wages ... that could hurt household income and affect consumption," Suzuki told parliament. "We must respond to any impact such price moves could have on the economy," he added.

Suzuki did not