By CentralBankNews.info
The Bank of Japan (BOJ) maintained it recently-revised target for boosting the country’s monetary base by an annual pace of about 80 trillion yen and repeated that the country’s economy is recovering moderately though it acknowledged weakness on the production side to the drop in demand following the April sale tax hike.
The BOJ, which on Oct. 30 raised its target for increasing the monetary base by 10-20 trillion yen, also noted that exports from Japan have been “more or less flat” and changed its estimate of inflation, saying annual consumer price inflation is “likely to be at around the current level for the time being,” a shift since September when its said consumer price were likely to rise by around 1.25 percent.
The BOJ issued the following statement:
[Note 1] Voting for the action: Mr. H. Kuroda, Mr. K. Iwata, Mr. H. Nakaso, Mr. R. Miyao, Mr. Y. Morimoto, Ms. S. Shirai, Mr. K. Ishida, and Mr. T. Sato. Voting against the action: Mr. T. Kiuchi. The member voting against the action considered that the guideline for money market operations before the decision of the “Expansion of the Quantitative and Qualitative Monetary Easing” on October 31, 2014 was appropriate.
[Note 2] Voting for the action: Mr. H. Kuroda, Mr. K. Iwata, Mr. H. Nakaso, Mr. R. Miyao, Mr. Y. Morimoto, Ms. S. Shirai, Mr. K. Ishida, and Mr. T. Sato. Voting against the action: Mr. T. Kiuchi. The member voting against the action considered that the guideline for asset purchases before the decision of the “Expansion of the Quantitative and Qualitative Monetary Easing” on October 31, 2014 was appropriate.
[Note 3] Mr. T. Kiuchi proposed that the Bank will aim to achieve the price stability target of 2 percent in the medium to long term and designate the QQE as an intensive measure with a time frame of about two years. The proposal was defeated by an 8-1 majority vote. Voting for the proposal: Mr. T. Kiuchi. Voting against the proposal: Mr. H. Kuroda, Mr. K. Iwata, Mr. H. Nakaso, Mr. R. Miyao, Mr. Y. Morimoto, Ms. S. Shirai, Mr. K. Ishida, and Mr. T. Sato
8:50 on Thursday, December 25″
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