BOJ stimulus not aimed at yen slide: Abe

Tokyo

PRIME Minister Shinzo Abe on Tuesday staved off criticism that Japan's ultra-loose monetary policy was aimed at weakening the yen, as its fall to a seven-year low against the dollar sowed unease among rival exporting nations, such as South Korea.

Speaking in Beijing, Mr Abe stressed that markets should determine exchange-rate moves, and said that the Bank of Japan's strategy was aimed at ending deflation and reviving growth, not at weakening the yen. "The Group of 20 nations recognise the BOJ's stimulus programme is aimed at ending deflation and supporting domestic demand," Mr Abe told a news conference at an Asia-Pacific Economic Cooperation (Apec) summit. "Japan abides by the agreement of G-7 and G-20 nations that currency rates ought to be determined by markets. I understand other countries do so too."