TOKYO—Bank of Japan Governor Haruhiko Kuroda on Thursday stressed the bank’s readiness to maintain massive stimulus, as the fallout from the pandemic weighs on consumption and keeps inflation distant from its 2 percent target. Kuroda said the world’s third-largest economy is expected to show clearer signs of recovery as robust corporate profits and capital expenditure offset some of the weakness in consumption. But he warned the outlook for consumption, which holds the key to a sustained economic recovery, was highly uncertain and dependent on developments regarding the pandemic. “Consumption is expected to pick up if further progress in vaccinations allow society to curb infections, while resuming economic activity,” Kuroda said in a speech delivered to an online annual meeting of Japan’s securities industry. “But the timing and pace of recovery in consumption remains highly uncertain and could change depending on how the pandemic unfolds.” Kuroda maintained his optimism on exports …
BOJ Kuroda Vows to Keep Easy Policy on Weak Consumption, Inflation
September 30, 2021
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