MNI BRIEF: BOJ Noguchi: Attention To Downside Risks Needed

Downside risks from pandemic conditions and supply chain disruptions needs greater policy attention, including the impact of a temporary fall in prices, Bank of Japan board member Asahi Noguchi said on Thursday.

"The phase of normalising the economy is delayed a bit as public health measures were strengthened after summer," Noguchi told business leaders in Tottori City in online remarks, see: MNI INSIGHT: BOJ Concerned Energy Costs Could Dampen Growth.

"Even though infections have waned, it will take considerable time to achieve the 2% price target. It is most important for the BOJ to patiently maintain the current easy policy," said Noguchi, one of four of the nine-member board calling for aggressive reflation, and who took office in April.

"The face-to-face services are facing a severe situation. But I personally think its recovery will become clearer around the end of this year, with vaccinations progressing further," he said.