BoJ ups economic assessment for two of Japan's nine regions

In its quarterly review of the Japanese regional economies, the Bank of Japan (BoJ) raises the assessment for two of the country's nine regions.

Additional takeaways

BoJ cuts assessment for 1 of Japan’s 9 regions in quarterly report.

BoJ maintains assessment for 6 of Japan’s 9 regions in quarterly report.

Many regions reported on tightening job market, labor shortages among firms.

Some big firms have announced plans of wage hikes at or above last year's pace.

There are momentum for firms in regional areas to hike wages, with announcement of plans made somewhat earlier than last year.

Many firms in regional areas have yet to reach decision on rate of wage hike.

Quite a number of smaller firms in regional areas remain cautious of hiking wages due to concern over profits.

Many regions reported that there was high uncertainty on how much wage hikes will broaden.

Many firms continued to pass on higher raw material costs but pace slowing.