In a parliamentary address today, BoJ Governor Kazuo Ueda said “The time it takes for the impact of monetary policy to appear on the economy could move around a lot depending on circumstances.”
“We therefore do not have any time frame in mind” in achieving the inflation target, he added.
“Having said that, our baseline view is that it won’t take so long as over 10 years. We’ll still seek to hit the target at the earliest date possible,” he remarked.
Ueda reiterated that the Bank of Japan’s purchases of Real Estate Investment Trusts (REITs) form part of their expansive monetary easing strategy. He noted, “We are conducting the purchases (of REITs) as part of our massive monetary easing program. Given it will take more time to achieve our price target, we will maintain the easy policy.”
