bank of japan holds off further easing measures
Last Updated : GMT 03:09:26
Arab Today, arab today
Arab Today, arab today

Bank of Japan holds off further easing measures

Arab Today, arab today

Arab Today, arab today Bank of Japan holds off further easing measures

Bank of Japan Governor Haruhiko Kuroda
Tokyo - AFP

The Bank of Japan held off further easing measures on Wednesday despite struggling to drag up flatlining inflation that is defying a massive stimulus launched two years ago.
The central bank stayed pat on its record easy money programme, which is adding about 80 trillion yen ($663 billion) to the money supply every year.
But economists said BoJ Governor Haruhiko Kuroda will have to boost the scheme, possibly later this month, in a further attempt to bring Japan closer to achieving two-percent inflation.
The BoJ's inflation target is a cornerstone of Prime Minister Shinzo Abe's drive to conquer deflation and revive the long-sluggish economy.
After a two-day meeting, the BoJ said in a statement consumer inflation was likely to be about zero "for the time being" due to lower energy prices.
However, it added "inflation expectations appear to be rising on the whole from a somewhat longer-term perspective".
Kuroda told a press conference that the BoJ board expected price levels will start to rise later this year as general economic conditions improve.
"We believe the rise of the inflation rate will accelerate perhaps after the coming autumn, considering that expected inflation will likely rise over the long run, as the impact of the fall in energy prices diminishes, while the gap between supply and demand continues to improve," Kuroda said.
But he added that the bank stood ready to loosen monetary policy if necessary, recalling his surprise move in October that expanded the scheme earlier than expected.
The yen picked up on the news -- soon after the bank's statement the dollar was at 120.06 yen compared with 120.32 yen in New York on Tuesday.
The US currency slipped to 119.91 in late afternoon.
Kuroda's announcement prompted economists to strengthen their belief that the BoJ will expand the easing programme soon.
The BoJ is likely to lower its growth forecast for the year to March, as the Japanese economy seems to have slowed at the start of the year, said Capital Economics' Marcel Thieliant.
"We still expect policymakers to step up the pace of easing at the end of the month to signal their determination to hit the two percent inflation target," he said.
SMBC Nikko Securities echoed the view and said "further easing is inevitable" as the bank "almost certainly" will not reach its inflation target for the time being.
The Japanese brokerage expected Kuroda to take action sometime between July and October.
"If the US Federal Reserves hikes the rate in September, it becomes possible that the BoJ will expand its easing programme in September to achieve the maximum impact," it said in a note to clients.
Tokyo's campaign to stimulate spending faltered after the government raised the sales tax last year to help pay down the enormous national debt.
That hammered consumers and led to a brief recession, while falling oil prices have hammered energy inflation.
Japan limped out of recession in the last quarter of 2014 with an unimpressive 0.4 percent growth rate.
Kuroda said the negative impact of the consumption tax rise was weakening, while the US economy continues its recovery.
"Japan's economy is expected to continue its moderate recovery trend," with demand both at home and abroad picking up, the bank said.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

bank of japan holds off further easing measures bank of japan holds off further easing measures

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

bank of japan holds off further easing measures bank of japan holds off further easing measures

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today PNG police start removing refugees

GMT 03:00 2017 Friday ,24 November

PNG police start removing refugees
Arab Today, arab today Sophian Yussef reveals suitable decoration

GMT 02:56 2017 Thursday ,23 November

Sophian Yussef reveals suitable decoration
Arab Today, arab today Syria congress to go ahead

GMT 02:24 2017 Friday ,24 November

Syria congress to go ahead
Arab Today, arab today IS media offline for a day

GMT 02:10 2017 Friday ,24 November

IS media offline for a day
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Human form of 'mad cow' disease

GMT 00:11 2017 Friday ,24 November

Human form of 'mad cow' disease
Arab Today, arab today British woman jailed in Iran to appear

GMT 03:19 2017 Friday ,24 November

British woman jailed in Iran to appear
Arab Today, arab today 'Trash islands' off Central America indicate

GMT 20:19 2017 Friday ,24 November

'Trash islands' off Central America indicate
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mitsubishi Materials units falsified product

GMT 03:24 2017 Friday ,24 November

Mitsubishi Materials units falsified product
Arab Today, arab today 'Robo-taxis' hold promise, and perils

GMT 08:07 2017 Thursday ,23 November

'Robo-taxis' hold promise, and perils
Arab Today, arab today Solaf happy for participating in “Hotline”

GMT 07:56 2017 Wednesday ,22 November

Solaf happy for participating in “Hotline”
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead

GMT 08:03 2017 Tuesday ,21 November

Abeer Sabry reveals reason of “The Flood” success

GMT 08:03 2017 Thursday ,23 November

Srebrenica women cry tears of joy

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts

GMT 09:12 2017 Thursday ,23 November

4 in 10 cancers due to modifiable risk

GMT 10:47 2017 Wednesday ,22 November

The Big Apple bike boom

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday