74% of Japanese firms want BOJ to exit stimulus but see no tightening till 2019 or beyond: poll

BUSINESS / Economy

74% of Japanese firms want BOJ to exit stimulus but see no tightening till 2019 or beyond: poll

A Hinomaru flies outside Bank of Japan headquarters in Tokyo. A survey shows that three-quarters of Japan's companies say the BOJ needs to exit from its radical monetary easing policy but most do not see that happening until next year or beyond. | BLOOMBERG

Reuters

Mar 22, 2018

Three-quarters of Japanese companies say the Bank of Japan needs to exit from its supereasy monetary policy but most do not see that happening until next year or beyond, a poll found.

The results of the monthly Reuters Corporate Survey come as BOJ Gov. Haruhiko Kuroda — reappointed for a second term — and his two new deputies are set to begin their terms, aiming to spur economic growth and drive inflation to the central bank’s so-far elusive target of 2 percent.

With inflation struggling to accelerate even after five years of Kuroda’s aggressive monetary stimulus, the central bank is in no mood to rush to exit, although the governor flagged the possibility if the inflation target is met in fiscal 2019 — a remark he tempered later.