MNI BRIEF: BOJ's Kuroda Says No Plan To Raise 10-Year JGB Band

Bank of Japan Governor Haruhiko Kuroda said on Friday there is no plan to raise the upper end of the 10-year Japanese government bond interest rate from 0.25%.

“If (the BOJ) raises the upper end of the (perceived) range, the 10-year interest rate will rise above 0.25% and it will weaken the degree of easy policy,” Kuroda told reporters, and efforts to prevent the 10-year interest rate from breaching that level will be addressed via daily open market operations. Kuroda ruled out the view that there is a limit for the BOJ to continue the yield curve control policy.

Kuroda also said that the BOJ will not hesitate to take additional easy policy, if necessary, (See: MNI BRIEF: BOJ On Hold, Keeps Policy Forward Guidance).