Japanese business service inflation reaches 2.5% in May

Japanese companies raised prices for services provided to each other by 2.5 per cent in May compared to a year ago, indicating that increasing wages prompted the companies to absorb higher labour costs.

The year-on-year increase was slightly lower than the previous month’s 2.7 per cent gain, according to Bank of Japan data.

The index measuring the prices companies charge each other for services with high labour costs remained unchanged at a 2.5 per cent increase in May compared to the previous year.

Attribution: Reuters