TOKYO (Kyodo) -- The Bank of Japan will "seriously take into account" currency movements in shaping its views on prices and the economy, Governor Kazuo Ueda said Thursday, as the yen remains on a downward trend due largely to the country's low interest rates.

Foreign exchange rates are an important factor in assessing inflation, and the central bank is closely monitoring what affects currency movements, Ueda said at an event in Tokyo, while the weaker yen has driven up import costs and pushed up prices at home.

Ueda, who is believed to lean toward a rate hike to curb inflation, reiterated that the bank considers the latest economic data to determine its monetary policy, saying, "It's impossible to predict the outcome" of the next meeting in advance.

The BOJ, which maintained drastic monetary easing over the past decade until Ueda took office in 2023, is scheduled to hold its two-day board meeting from Dec. 18, amid growing speculation that the bank may raise its policy rate from the current 0.25 percent.

Ueda's remarks came as the yen lost ground against the U.S. dollar following Donald Trump's victory in the Nov. 5 U.S. presidential election. Trump has pledged to raise tariffs, a move that could accelerate inflation and drive up long-term interest rates in the United States.

The yen's depreciation was a factor in the bank's decision to tighten monetary policy in July, Ueda said.