Bank of Japan Gov. Kazuo Ueda said price growth remains slower than the central bank’s goal, explaining why officials are continuing with their current monetary-policy strategy.

“We think underlying inflation is still a bit below our target of 2%,” Ueda said Saturday during a panel discussion at the Federal Reserve’s annual symposium in Jackson Hole, Wyoming. “This is why we are sticking with our current monetary easing framework.”

Annual inflation, as measured by consumer prices excluding fresh food, registered 3.1% in July and the rate “is expected to decline toward the end of the year,” Ueda said.