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Goldman Sach's Naohiko Baba believes.......>

BOJ VIEW
BOJ VIEW: Goldman Sach's Naohiko Baba believes that "the Japanese government may
be tacitly signalling that it wants the BOJ to maintain the current ultra-low
interest rate policy for a protracted period, by choosing to add total fiscal
balance as an interim target indicator." Baba notes that the "government is the
biggest beneficiary of the BOJ's ultra-low interest rate policy, given
increasing levels of debt. As a result it would like to see yield-curve control
maintained over an extended period." Baba also highlights that "several
government documents have already pushed back the anticipated timing of interest
rate hikes significantly compared with last year."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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