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MNI BRIEF: BOJ Minutes: Policy Review To Increase Flexibility

MNI (Sydney)
TOKYO (MNI)

Bank of Japan board members agreed that the main focus of their policy assessment is not on countermeasures for the side effects of easy policy, but on how the BOJ could be nimble in making effective responses, according to the minutes of the January 20-21 meeting released on Wednesday.

One member said that the economic impact of a wider movement of 10-year interest rates within a certain range would be limited as most of the funds raised by firms and households is linked to short-term interest rates, the minutes showed.

The BOJ board kept monetary policy unchanged at the meeting and the focus has shifted to the results of the policy review to be released at the March meeting.

At the March meeting the BOJ widened a range of 10-year interest rates to between -0.25% and +0.25% compared with the previous range of about -0.20% and +0.20%.

MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
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MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
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