Private-sector members of Japan’s Council on Economic and Fiscal Policy urged closer coordination between the government and the Bank of Japan while explicitly upholding the central bank’s independence. The recommendation differs from their May call for the BOJ to consider funding conditions at smaller companies, which was viewed as caution against further rate increases. The shift comes as long-term interest rates rise, investors assess Prime Minister Sanae Takaichi’s fiscal plans and global bond yields increase. The members said fiscal policy alone does not explain the rise, pointing to monetary policy, inflation expectations and overseas markets. Separately, the government said it had met participants from about 20 securities firms, banks and asset managers to explain its policies and gather views on bond-market conditions.