Japan: Central bank chief forecasts victory
Bank of Japan Governor says stimulus measures had boosted economic activity and produced durable inflation.
TOKYO:
Japan’s central bank chief has forecast victory in his battle against stubborn deflation that has sapped growth for years, but expressed impatience over the pace of Premier Shinzo Abe’s policy blitz aimed at jump-starting the long-laggard economy. Bank of Japan Governor Haruhiko Kuroda said stimulus measures had boosted economic activity and produced durable inflation. But he warned that Abe’s government needed to step up its campaign for deeper, structural reforms that go beyond monetary policy to achieve more sustainable longer-term success. Unless Abe acts swiftly, “the real growth rate may be disappointing”, Kuroda said in an interview published in The Wall Street Journal Saturday. “That is not good for the economy, not good for the society.”
Published in The Express Tribune, May 25th, 2014.
Japan’s central bank chief has forecast victory in his battle against stubborn deflation that has sapped growth for years, but expressed impatience over the pace of Premier Shinzo Abe’s policy blitz aimed at jump-starting the long-laggard economy. Bank of Japan Governor Haruhiko Kuroda said stimulus measures had boosted economic activity and produced durable inflation. But he warned that Abe’s government needed to step up its campaign for deeper, structural reforms that go beyond monetary policy to achieve more sustainable longer-term success. Unless Abe acts swiftly, “the real growth rate may be disappointing”, Kuroda said in an interview published in The Wall Street Journal Saturday. “That is not good for the economy, not good for the society.”
Published in The Express Tribune, May 25th, 2014.