- Full statement from BoJ: http://www.boj.or.jp/en/announcement...4/k140122a.pdf
- Japan’s central bank unanimously voted to retain current stimulus activity as outlined in today’s monetary policy.
- BoJ will conduct money market operations to increase monetary base as an annual pace of about 60-70 trillion yen.
- Japan’s economy has continued to recover moderately. Front-loaded increase in demand prior to the consumption tax hike (this April) has recently been observed.
- Public investment continues to increase. Industrial production has been increasing moderately
- Year-on-year CPI is around 1.25%. Inflation expectations appear to be rising on the whole.
- Risks to Japan’s outlook include developments in the emerging and commodity-exporting economies, Euro debt problem, and the pace of US recovery.
- The Bank will continue with ‘QQE’ aiming to achieve their inflation target of 2%.