Kuroda Says BOJ to Mull Fresh Options in Case of More Easing
Bloomberg - Jan 23, 2015
Bank of Japan Governor Haruhiko Kuroda signaled the central bank may need to look at fresh options if more stimulus is needed to propel inflation to levels unseen since stagnation set in two decades ago.
“If, really, our possible path to 2 percent inflation is significantly affected, then of course we can make adjustment to our monetary policy,†Kuroda said in an interview with Bloomberg Television in Davos, Switzerland, on Friday. Asked whether the BOJ will have to get more creative, he said “yes, I think so.†He declined to specify the options available.
Kuroda, 70, spoke days after the BOJ cut its inflation projection for the coming fiscal year, a move that reinforced forecasts for further stimulus by October. While Kuroda’s unprecedented scale of asset purchases has pulled the world’s third-largest economy out of 15 years of entrenched deflation, he’s confronting -- like his European counterparts -- mounting pressures depressing price gains, and subdued growth.
