YEREVAN, April 15./ ARKA/. Bank of Japan Governor Haruhiko Kuroda on Monday voiced concern that global financial markets continue to have unstable factors and financial institutions need to form management system to cope with such risks.
“Stability is being maintained in the nation’s financial system but global financial markets continue to have unstable factors,” Kuroda said at a meeting by Trust Companies Association of Japan.
But he didn’t elaborate on what kind of risks that he is worried about.
Kuroda repeated his earlier remarks made at the opening of the BOJ’s quarterly branch managers’ meeting, saying, “There are data that suggest inflation expectations are rising in Japan.”
Kuroda also said, “The BOJ will achieve the 2% price stability target at the earliest possible time, with a time horizon of about two years.”
He added that the quantitative and qualitative monetary easing decided at the April 3-4 policy-setting meeting, which underscore the BOJ’s desire, will affect inflation expectations through a drop in longer rates and asset prices.
The BOJ’s board members will update their forecasts for core consumer price index and real economic growth this fiscal year and fiscal 2014 in the semi-annual Outlook Report at the one-day policy-setting meeting on April 26. –0–
