Kuroda's job turning into Herculean task

PITY Haruhiko Kuroda, governor of the Bank of Japan (BOJ), who finds himself faced with the task of trying to stoke the fires of inflation under a still soggy Japanese economy while also having to deal with a legacy of misguided monetary management.

It is proving to be a Herculean task that he has undertaken and, while Mr Kuroda has had some successes to his credit in his first year in office, it is possible that the hard part is only just beginning. His opening gambit was impressive. A shock and awe move involving massive monetary easing sent the yen tumbling, to the delight of Japanese firms with overseas profits that suddenly looked much better in yen terms. Prime Minister Shinzo Abe obligingly backed this up with fiscal stimulus and promises of thoroughgoing structural reform and, for a time, it looked as though the long-moribund Japanese economy was about to take off.

So why are increasing numbers of people doubting that the economy can, in fact, break free from the drag of past inertia? Has Mr Kuroda bitten off more than he can chew by attempting to move it into a different orbit?