BoJ Governor Haruhiko Kuroda told the parliament, “unlike Western countries, we have no immediate plans to scale back our monetary stimulus.” But the central bank will continue to look at inflation expectations. “We will look not just at price indicators, but also surveys showing how the public feels about price moves,” he added.
On exchange rate, Kuroda said, “if the yen weakens further, that could push up import costs. But the recent rise in import costs is driven mostly by an increase in dollar-denominated raw material prices, rather than a weak yen.”
“It’s desirable for currency rates to move stably reflecting economic fundamentals. I think recent (yen) moves are in line with this trend,” Kuroda added.
