BOJ’s Funo: Important to continue powerful easing to hit price target

More headlines crossing the wires from the Bank of Japan (BOJ) Monetary Policy Board member Yukitoshi Funo, as he speaks at a meeting with business leaders in Sapporo.

Key Points:

Important to continue powerful easing to hit price target

Price momentum still insufficient for CPI target

Must push down real interest rates sufficiently to guard economy against negative shocks

Various overseas uncertainties remain such as US economic policy outlook, developments in emerging economies, geopolitical risks

Expect employees' income to gradually increase but there is a risk companies may remain cautious in raising wages

Japan's private consumption likely to increase moderately as a trend

Japan still has room to increase productivity, key to do this with less pain is to promote growth strategy

Easy monetary conditions, tight labour market offer good chance to pursue structural reform, growth strategy