BOJ Deputy Gov. Nominee Uchida Sees Need to Continue Easing

Tokyo, Feb. 28 (Jiji Press)--Shinichi Uchida, nominated as Bank of Japan deputy governor, said Tuesday that the central bank needs to continue monetary easing.

"Monetary easing will remain necessary going forward," Uchida, who is now BOJ executive director, told a meeting of the steering committee of the House of Councillors, the upper chamber of the Diet, Japan's parliament. He stressed that the BOJ's current massive monetary easing is effective.

At the same time, he mentioned side effects of the current policy, saying, "Adverse effects have emerged on profits at financial institutions and the functioning of (financial) markets."

"The challenge we are facing is to continue (the easing policy) effectively through various ways, not reviewing it," he also said.

Uchida stated that it is "premature" to start discussions on an exit strategy for the massive easing policy, while noting, "I want to make contributions based on my experience of having engaged in the work to design (the easing policy)."

[Copyright The Jiji Press, Ltd.]