BOJ's Kuroda expresses resolve to keep ultra-easy monetary policy

[TOKYO] Bank of Japan Governor Haruhiko Kuroda on Monday stressed that the central bank would maintain its ultra-loose monetary policy until inflation hits its 2 per cent target.

He also reiterated that Japan's economy would see inflation accelerate towards the BOJ's target as the output gap improved and medium- to long-term inflation expectations heightened.

"Japan's economy is expected to continue expanding moderately," Mr Kuroda said in a speech at a quarterly meeting of the central bank's regional branch managers.

Under a yield curve control policy adopted in 2016, the BOJ pledges to guide short-term interest rates at minus 0.1 per cent and the 10-year government bond yield around zero per cent.

REUTERS