Greater Caution Needed for 2 Pct Inflation Target: BOJ Kuroda

Economy Politics

Tokyo, Oct. 15 (Jiji Press)--Bank of Japan Governor Haruhiko Kuroda said Tuesday that the central bank needs to take "greater caution" in seeking to achieve its inflation target of 2 pct amid a slowdown of the global economy.

"The circumstances are becoming such that greater caution is becoming necessary" to maintain momentum in order to reach the 2 pct inflation target, Kuroda said.

Kuroda also said that the BOJ will work to maintain the functions of the financial system and ensure smooth payments and settlements while assessing the conditions of the real economy after powerful Typhoon Hagibis struck mainly eastern Japan over the weekend.

He made the remarks in an opening address at a quarterly meeting of the BOJ's branch managers.

At the meeting, the branch heads discussed the current state and outlook of the economy amid growing geopolitical risks, such as the prolonged U.S.-China trade tensions and strained ties between Japan and South Korea.

[Copyright The Jiji Press, Ltd.]

Jiji Press