BoJ Governor Kazuo Ueda, following a G20 finance leaders’ meeting in India, has restated the central bank’s stance on maintaining their ultra-loose monetary policy under yield curve control as sustainably and stably achieving 2% inflation target remains a distant objective.
He stated, “Based on this understanding, we have patiently continued our ultra-loose monetary policy under yield curve control.”
Ueda highlighted BOJ’s intent to thoroughly assess the pace of Japan’s progress towards sustainably achieving its 2% target during every policy meeting.
He added, “If our assumption (that sustained achievement of 2% inflation remains distant) is unchanged, our overall narrative on monetary policy remains unchanged,” indicating that any alteration to YCC policy will depend on the evidence of significant progress towards the central bank’s inflation target.
