BOJ will act 'without hesitation' to revive inflation - Kuroda

Ivan Delgado Independent Analyst

BOJ Governor Haruhiko Kuroda spoke at Jackson Hole (Federal Reserve's monetary policy symposiumon) on Saturday, noting that the BOJ will act 'without hesitation' to revive inflation, Reuters reports.

As Reuters reports: "The recent dip in inflation in Japan may mean inflation expectations are not yet anchored at the Bank of Japan's two percent target, and the bank will approve more quantitative easing or lower negative interest rates without hesitation," BOJ Governor Haruhiko Kuroda said on Saturday.

"The Bank of Japan will continue to carefully examine risks and take additional easing measures without hesitation. It could be that long term inflation expectations are yet to be anchored in Japan", Kuroda said.

Kuroda thinks that when combining QE and lower rates, the bank has an "extremely powerful policy scheme" and "will act decisively as we move on".

Another relevant comment Kuroda made was that anchoring inflation expectations at 2% is "definitely a prerequisite" to achieving the bank's goals.

Author

Ivan Delgado

Independent Analyst

Established in the Asian continent since 2009, Ivan studied a degree in Business at the University Pompeu Fabra (Barcelona), while also earning a postgraduate degree in Business Administration.

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