MNI POLICY: BOJ Kuroda Warns Of Virus Impact Scale; Eyes FX

     TOKYO (MNI) - Bank of Japan Governor Haruhiko Kuroda warned Tuesday that

the impact of the coronavirus on the global economy may be large and the BOJ

will not hesitate to take appropriate policy.

     Kuroda told lawmakers, "We continue to carefully monitor developments of

financial markets around the globe and will not hesitate to take appropriate

policy."

     "Uncertainty has heightened due to the spread of the coronavirus and

markets remain unstable. The infection is expanding in advanced nations and it

would adversely affect sentiment. We need to be aware of the risk that the

impact of the coronavirus will become large," he added.

     The BOJ and other central banks had already taken measures to cope with the

negative impact of the coronavirus.

     "The coronavirus has increased uncertainties, which worsened investors'

risk sentiment and then strengthened the yen," the Governor noted.

     "We are aimed at achieving the price stability and aren't targeting foreign

exchange rate. But we, of course, are closely watching developments of foreign

exchange rate as it affects economy and prices and we will take appropriate

policy, judging from overall assessment," he said.

--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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