[Bank of Japan: High Oil Prices and Weak Yen May Keep Core Inflation Around 3% for Two Consecutive Years] Jin10 News, April 30 – The Bank of Japan (BOJ) released a risk scenario on Thursday, indicating that under the assumption of sustained high oil prices and a weaker yen, core inflation could hover around 3% for two consecutive years, significantly exceeding its 2% target. In the baseline scenario released on Tuesday, the BOJ stated that it expects the core Consumer Price Index (CPI) for the fiscal year ending March 2027 to rise by 2.8%, and by 2.3% in the following fiscal year. On Thursday, the BOJ unusually published a set of risk scenarios, assuming crude oil prices remain around $105 per barrel by the end of the year, the yen depreciates by 10% from its current level, and the stock market declines by 20%. Under this risk scenario, core inflation is projected to rise to 3.1% in the 2026 fiscal year, 3.0% in 2027, and then fall back to 2.3% in 2028. The report stated: "It is particularly noteworthy that core inflation is expected to remain around 3% for two consecutive years in the 2026 and 2027 fiscal years." The report also noted: "This upward deviation in CPI could become a factor driving higher medium- to long-term inflation expectations."