Haruhiko Kuroda: Japan's economy and monetary policy

Speech by Mr Haruhiko Kuroda, Governor of the Bank of Japan, at the Kisaragi-kai Meeting, Tokyo, 7 December 2017.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Introduction

It is my great pleasure to have the opportunity today to speak at the Kisaragi-kai meeting.

The last time I gave a speech at the Kisaragi-kai meeting was early September last year. Two weeks after that, the Bank of Japan conducted a comprehensive assessment of the developments in economic activity and prices as well as of the policy effects under quantitative and qualitative monetary easing (QQE), and decided to introduce a new framework for strengthening monetary easing - "QQE with Yield Curve Control." While more than a year has passed since then, highly accommodative financial conditions have been maintained in Japan under this framework, and the economy has continued to improve. Today, I would like to first explain the Bank's view on the recent economic and price developments in Japan, and then talk about its thinking behind the conduct of monetary policy.