BOJ’s chief informs rate could go deeper into negative territory
On Tuesday, the BOJ’s chief Haruhiko Kuroda told that he would act immediately in order to drastically strengthen the country’s monetary easing measures if required, though he simultaneously eased worries as for a listless economy.
Talking in parliament, he stressed his position once again regarding undertaking extra monetary easing without hesitation if required. For instance, this might be achieved by simply increasing the BOJ’s asset purchases or even by lowering its current deposit rate further below zero. In February, the country’s central bank got down to imposing a minus 0.1% interest rate on certain deposits of commercial banks.
The BOJ’s governor added that deciding on the best combination of easing measures would hardly involve wasted or lost time. However, he still doesn’t know for sure what measures he would opt for considering the number of possible scenarios. He told that the country’s central bank is expected to determine its approach by simply looking at financial and economic conditions at a given time.