Bank of Japan keeps ultra-loose policy unchanged

|By:, SA News Editor

As expected, the Bank of Japan has left its key interest rate at 0.1%, and maintained its program of expanding the monetary base at an annual rate of ¥60-70T ($611-713B) a year.

"Japan's economy is recovering moderately," the BOJ reiterated, with governor Haruhiko Kuroda saying that it is moving in line with forecasts.

"Inflation expectations appear to be rising on the whole," the bank said. Still, Kuroda declared that he won't hesitate to change policy if necessary.

The bank noted that exports "have generally been picking up," reflecting a moderate rebound overseas. Kuroda doesn't "see a big risk of emerging economies worsening sharply."

The Nikkei is +1.9%, while the yen has fallen against the dollar, with the USD-JPY +0.8% to ¥100.80. (PR)

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