Japan Economics

Japan Economics Focus

23 January, 2017

Has the Bank of Japan finished easing?

With the recent improvement in the inflation outlook, the Bank of Japan is unlikely to ease further in 2017 but any speculation about policy tightening will prove premature. In fact, the Bank’s pledge to keep long-term government bond yields low has opened the door to fiscal stimulus financed by the central bank should the economy experience a shock in future.

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