Bank of Japan Governor Haruhiko Kuroda said on the 23rd that the Bank of Japan would continue monetary easing to achieve its goal of stable inflation. He said the current inflation is led by import prices and is expected to peak soon.
The Group of Seven (G7) countries will hold a meeting of finance ministers and central bank governors in Bengaluru, India. In a post-meeting press conference, Kuroda said Japan’s inflation rate was likely to fall below 2% in the middle of fiscal 2023. He expected wages to remain below 2% in FY2024 unless the pace of wage growth picks up.
Kuroda said, “I explained that we will continue monetary easing with the aim of achieving the price stability target of 2% in a sustainable and stable manner.”
Kuroda’s stance of continuing monetary easing is at odds with other G7 members, who need to continue tightening monetary policy to tame inflation. In addition to the global economy, the G7 also discussed the Russian-initiated war in Ukraine.
Kuroda declined to comment on the BOJ’s new structure.
Original title:Bank of Japan to Keep Easing, Kuroda Says as Term End Nears (1)(excerpt)
(I will add and update in the 4th paragraph)
