Core consumer prices in Tokyo rose 1.6% year-on-year in June, according to government data released on Friday.
The figure, which includes oil products but excludes fresh food, offers a critical gauge of underlying inflation trends in the world's third-largest economy.
The acceleration marks a notable uptick in price pressures, signaling that the Bank of Japan's efforts to engineer a sustainable return to its 2% target are gaining traction.
The acceleration marks a notable uptick in price pressures, signaling that the Bank of Japan's efforts to engineer a sustainable return to its 2% target are gaining traction.
The data reinforces the central bank's hawkish stance, with Governor Kazuo Ueda and other policymakers having previously signaled that additional interest rate hikes remain on the table.
Recent minutes from the BoJ revealed a growing consensus among board members for a faster pace of tightening to reach neutral policy levels.
This latest inflation print validates that internal debate, suggesting the central bank has the data support to proceed with further monetary normalization without risking a collapse in domestic demand.