Former member of the Bank of Japan: It is crucial for the Bank of Japan to raise interest rates in June, otherwise it will fall behind the inflation situation. According to Jinkoku Data on May 29th, Makoto Sakurai, who served as a member of the Bank of Japan's review committee from 2016 to 2021, said that the Bank of Japan is likely to raise interest rates next month, and this meeting will determine whether decision-makers can avoid falling behind in addressing inflation. Sakurai Makoto said on Friday, "They are likely to raise interest rates this time. If they don't raise interest rates, their policies will fall behind the situation. This meeting is extremely important." Sakurai Makoto said that if officials don't take action this time, they may miss the window for interest rate hikes and have to indefinitely postpone the next one due to the continued high uncertainty caused by the Iran conflict. At the time when Sakurai made the above remarks, the Japanese yen exchange rate was hovering around the level when the Japanese authorities intervened in the currency market to support the yen last month, increasing the risk of further inflation driven by rising import costs. The data released on Friday showed that the Tokyo inflation index, which is closely monitored by the Bank of Japan, rose by 1.3% year-on-year in May, with a growth rate lower than expected and the smallest increase in four years. The slowdown this time is mainly affected by the temporary reduction of water fees by the Tokyo Metropolitan Government. Sakurai Makoto pointed out that the Tokyo inflation data is affected by technical factors and will not change the policy path of the Bank of Japan. The core inflation rate may accelerate again later this year. Gaoshi Zaomiao is seen as a potential resistance to interest rate hikes, and she has long supported loose monetary policy. Sakurai Makoto stated that after the widespread support signals for further interest rate hikes released by US Treasury Secretary Besson during his visit to Japan earlier this month, the high market may allow the decision-making level of the Bank of Japan to make their own judgments.