Bank of Japan head Haruhiko Kuroda defended its decision to press ahead with the country’s ultra-loose monetary policy Friday, even as the U. S. Federal Reserve and European Central Bank tighten their policies. After a two-day meeting, the BOJ said it would retain its current framework, pointing
Bank of Japan head Haruhiko Kuroda defended its decision to press ahead with the country’s ultra-loose monetary policy Friday, even as the U. S. Federal Reserve and European Central Bank tighten their policies.
After a two-day meeting, the BOJ said it would retain its current framework, pointing to a disappointing lack of progress towards its longstanding 2.0 percent inflation target.
Speaking after the meeting, Kuroda said a persistent « deflation mind » was plaguing Japanese boardrooms and families, keeping the goal he had hoped to reach by 2015 a distant goal.
« I believe the momentum remains intact for us to achieve the two-percent price (inflation) target, » he said.
« I believe the current framework is sustainable, » he added of the bank’s decision to maintain its monetary easing measures.
Kuroda took the post in 2013 pledging that he would help put the economy on a sustainable growth path and eradicate Japan’s long-running problem of almost non-existent inflation.
