• Risk of BOJ facing difficulty buying JGBs due to adoption of negative interest rates is likely small, judging from ECB's experience
  • Don't see any limits to QQE
  • Adoption of negative rates allows BOJ to take bolder easing steps if needed

K is speaking in parliament today

More:

  • Policy board debated thoroughly economic, price developments in deciding to adopt negative rate policy
  • Will do our utmost to hit 2 pct inflation target at earliest date possible
  • Won't hesitate to ease policy further using 3 dimensions of easing steps
  • BOJ, like other major central banks, doesn't target forex in guiding monetary policy
  • There is possibility BOJ will cut interest rates below minus 0.1 pct in future, but don't expect banks to charge households for deposits