The Bank of Japan to announce “not jammed” externally Monetary Policy Meeting November 6th, 13:05
The BOJ has announced the “Agenda” of the September monetary policy decision meeting. While the central banks in Europe and the United States continued to cut interest rates one after another, it turned out that there was an opinion that the Bank of Japan's monetary policy should not be clogged and that a positive attitude that everything could be done should be communicated externally.
Just before the September meeting of the BOJ, the European Central Bank decided to cut rates for the first time in three and a half years, and the FRB = Federal Reserve Board, the US central bank, decided to cut rates following July.
On the other hand, the Bank of Japan maintained large-scale monetary easing measures because it does not need to change its current policy immediately, but in the financial markets, the Bank of Japan also perceived that there was room for additional monetary easing measures. .
For this reason, discussions were held at the meeting on how to make a positive attitude toward monetary easing as well as the Bank of Japan.
One member of the committee argued that it is important to disseminate information that emphasizes that there is no clogging in the BOJ's monetary policy and that all possibilities are always present.
After all, based on discussions at the September meeting, the BOJ clarified the possibility of further reducing the already-negative short-term interest rate as a policy management policy at the meeting held last week.
However, it has been pointed out that further declines in policy interest rates will have a serious impact on the management of financial institutions, and the Bank of Japan will continue to make difficult decisions.