The Bank of Japan will almost certainly maintain its current policy settings at the conclusion of the two-day Board meeting next Tuesday (18th). This means no change to the asset purchase programme, although some special loan facilities that are currently due to expire at the end of March will probably be extended for another year. Governor Kuroda will also presumably underline the Bank’s willingness to ease further if required, while downplaying the immediate risks to Japan from the recent turmoil in global markets.
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