BackBank of Japan offers brighter view on capex, monetary policy steady
The Bank of Japan's assessment on capital expenditure is helping broaden a recovery in the country's economy
Premium
Tokyo: The Bank of Japan (BoJ) kept monetary policy steady on Wednesday and revised up its assessment on capital expenditure, signalling its confidence that its aggressive monetary stimulus is helping broaden a recovery in the country’s economy.
As expected, the central bank voted unanimously to maintain its pledge of increasing base money, its key policy gauge, at an annual pace of ¥60 trillion to ¥70 trillion ($592-691 billion).
“Capital expenditure has increased moderately as corporate profits have improved," the central bank said in a statement announcing the policy decision. It kept its view on the economy unchanged to say it continues to recover moderately as a trend.
BoJ governor Haruhiko Kuroda will hold a news conference from 3:30pm (0630 GMT).
The BoJ has stood pat since launching an intense burst of stimulus last April, when it pledged to accelerate inflation to 2% in roughly two years via aggressive asset purchases in a country mired in deflation for 15 years. Reuters
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
