Daily Management Review

IMF: Bank of Japan's policy correction was a prudent move


According to IMF spokesperson Salgado, the Bank of Japan's policy correction was a prudent move.

A correction to the Bank of Japan's yield curve management system was a "reasonable step," said International Monetary Fund official Ranil Salgado on Wednesday, commenting on the day before's surprise decision.

In the face of uncertain inflation prospects, the Bank of Japan's decision was "a reasonable step, including given concerns about the performance of the bond market," he said.

"Providing clarity on the conditions for adjusting the monetary policy framework will help stabilize market expectations and boost confidence," Salgado said of the Bank of Japan's commitment to meeting its inflation target.

source: imf.org