(MENAFN- FxPro) Bank of Japan Governor Haruhiko Kuroda said the central bank is alert to downside risks to its aims to anchor 2% inflation by the first half of fiscal 2016.
Japan's consumer inflation has slipped back to around zero due partly to "the temporary influence of low oil prices," he told a panel discussion at an annual general meeting of the Bank for International Settlements in Switzerland. His remarks were released Monday.
"While our projection is that inflation will be in the neighborhood of 2% most likely around the April-September period of 2016, the risks to that scenario cannot be ignored, particularly when the global economy is full of uncertainty, including over geopolitical factors," Kuroda said.
The BoJ's initial plan was to anchor 2% inflation in about two years from April 2013, when the bank launched aggressive easing. The BoJ expanded the easing program to Y80 trillion in government bond buying annually last October as some board members thought falling energy prices would dampen inflation expectations.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.