February 27, 2019
TAKAMATSU, Japan (Reuters) – The Bank of Japan must take stronger monetary easing steps to achieve its inflation target as maintaining the current policy for too long could cause excessive swings in the economy, board member Goushi Kataoka said on Wednesday.
“If the current monetary easing is prolonged, it would mean the period in which Japan’s economy faces various uncertainties will be longer. That means uncertainty on achieving our price target will heighten,” Kataoka said in a speech to business leaders in Takamatsu, western Japan.
A vocal advocate of aggressive monetary easing, Kataoka has voted against keeping policy steady and has called for stronger steps to achieve the BOJ’s 2 percent inflation target.
(Reporting by Leika Kihara; Editing by Chang-Ran Kim)