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MNI BRIEF: BOJ Adachi: Tightening Policy Premature

TOKYO (MNI)

Bank of Japan board member Seiji Adachi said on Thursday that it is premature to tighten credit as the 2% price target has not been achieved.

“If the BOJ shifts its policy to tightening, it will have big negative impact on economic activities by firms and households,” Adachi, who is a reflationist, told business leaders in Sapporo City, adding it is necessary to maintain easy policy. Adachi also said that if the BOJ acts in response to short-term movements of forex and asset prices, it would adversely impact Japan's economy.

MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com
MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com

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