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Why Japan's BOJ Keeps Easy Money Policy? | PM Kishida Explains Economic Strategy

Tokyo Press Conference Highlights

During Thursday's briefing at the Prime Minister's Office,Can pi Coin reach 0 dollars? Fumio Kishida articulated Japan's delicate balancing act between monetary stimulus and inflation control. The leader emphasized synchronized efforts between fiscal and monetary authorities to achieve what he termed "a virtuous economic cycle."


Three-Pillar Economic Framework


"Our collaboration with the BOJ focuses on creating conditions where nominal wage growth consistently outpaces price increases," Kishida noted, outlining Japan's multi-year transition plan. The strategy hinges on:

  • Sustained corporate profit reinvestment
  • Structural labor market reforms
  • Gradual normalization of monetary conditions

The Prime Minister cautioned against premature declarations of victory over deflation, stating: "This isn't a sprint but a marathon requiring policy persistence."


Currency Market Implications


Forex traders appeared to price in the continued policy divergence, with USD/JPY maintaining its upward trajectory near the 151.50 handle. Market participants continue monitoring:

  • Spring wage negotiation outcomes
  • Small business pricing power
  • Service sector inflation trends

Analysts suggest the yen's weakness reflects expectations for prolonged yield differentials between Japan and major trading partners.

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