Japan’s Finance Minister Satsuki Katayama reiterated the government’s commitment to fiscal discipline while signalling continued coordination with the Bank of Japan ahead of its pivotal December policy meeting. Katayama said interest rates are shaped by “various factors” and stressed that the government will closely monitor market developments, pursue appropriate debt-management policies, and craft budgets with fiscal sustainability in mind.

She noted that the recently approved extra budget was designed with fiscal stability as a priority and indicated that next year’s budget will follow the same approach. Katayama also highlighted “positive dialogue” with BOJ Governor Ueda but made clear that specific monetary-policy tools are the BOJ’s responsibility, reinforcing the central bank’s operational independence at a sensitive moment for interest-rate guidance.

The remarks collectively strike a balanced tone: supportive of BOJ autonomy, cautious on fiscal risks, and attentive to volatile bond-market conditions.