BOJ policymakers saw prospects of quicker recovery in April

The massive stimulus measures deployed by advanced nations may help quicken the pace of recovery in the Japanese and global economies. This was agreed by the Bank of Japan board members in their April policy-setting meeting showed on Wednesday.

The central bank in the world’s third-biggest economy will keep monetary settings unchanged for the time being. This is in the hope that its ultra-loose policy and coronavirus pandemic-relief program will sustain a moderate recovery. The board members quoted in minutes that there is uncertainty over the pace and the effect of coronavirus vaccinations, which could heighten downward pressure on economic activity.

But there is also chances that the stimulus measures taken by advanced nations could quicken the pace of recovery in domestic and overseas economies. One of the nine board members said that there was even a chance Japan’s economic growth may be pushed up sharply. This is as the consumers boost demand after the pandemic subsides. And this is also shown in the minutes.

The BOJ kept monetary settings intact in the April meeting. And projected that inflation will miss its 2% target well beyond Governor Haruhiko Kuroda’s current term ending in 2023.