Price growth in Tokyo slowed sharply to below 2% in April, in a result largely distorted by the start of education subsidies as the Bank of Japan meets to decide policy.
Consumer prices excluding fresh food rose 1.6% in Tokyo, a slowdown from 2.4% in March, the Interior Ministry said on Friday. A deeper measure of the inflation trend that excludes fresh food and energy prices slowed to 1.8%, compared with the consensus estimate of 2.7%.
While Tokyo’s consumer price index (CPI) data is usually considered a leading indicator of national trends, April’s figures were distorted by the start of education subsidies. That impact won’t be reflected across the country in national data for April, which will be released on May 24.
