The Bank of Japan Governor Kuroda is currently reviewing its policy and due to present on this at its March meeting announcement (March 19)

Bank of Japan Governor Kuroda sounding coy:

  • says BOJ's negative rate policy was able to push down yield curve, help prop up economy and output gap via lower real rates
  • says BOJ will likely debate whether to expand implicit band for its 10-yr JGB target, but more discussions needed before final decision
  • says whether to expand BOJ's 10-yr JGB yield band is a difficult issue
  • BOJ sees need to enhance market functions but must also keep yields stably low as the pandemic impact on economy continues
  • BOJ must scrutinise the merits and costs of ETF buying
  • specifics on how the make the BOJ's ETF buying more flexible, nimble will be discussed at the March review