Japan PM Abe: economy steadily escaping deflation

TOKYO - Japan Prime Minister Shinzo Abe said on Tuesday that the economy is making steady progress towards escaping deflation as the economic improvement continued to broaden.

Abe was speaking at a meeting of ministers following the government's decision to drop the word deflation from its monthly economic report for the first time in four years.

Japan dropped deflation from the economic report amid signs of consumer prices picking up, an indication the government has made progress in its battle with 15 years of grinding price falls.