Business

BOJ’s Kuroda says the rapid weakening of the yen is having a negative impact on the economy

TOKYO-Bank of Japan Governor Haruhiko Kuroda on Friday expressed concern over the yen’s rapid weakening after hitting its weakest level against the US dollar since 1998 earlier this week.

“Rapid movements in exchange rates, as have been observed in recent weeks, are not desirable as this would bring great uncertainty to companies’ business planning. It’s negative for the economy,” Mr Kuroda said at a news conference.

The comment signals a stronger warning from Mr Kuroda, who previously said a weak yen USDJPY,
+1.96%
overall be positive for the Japanese economy by boosting overseas corporate profits.

Earlier in the day, the bank’s policy board decided to keep interest rates ultra-low, bucking a global trend of monetary tightening amid inflation.

Read: Here’s what’s at stake for markets as the Bank of Japan remains dovish

The Japanese economy is still on its way to recovering from the pandemic and it is not appropriate to raise interest rates now, Mr Kuroda said.

Write to Megumi Fujikawa at megumi.fujikawa@wsj.com

https://www.marketwatch.com/story/boj-s-kuroda-says-rapid-yen-weakening-negative-for-economy-271655452473?rss=1&siteid=rss BOJ’s Kuroda says the rapid weakening of the yen is having a negative impact on the economy

Brian Lowry

InternetCloning is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – admin@internetcloning.com. The content will be deleted within 24 hours.

Related Articles

Back to top button