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Economy

BOJ's Kuroda doubles down on ultraloose policy even as yen slides

Central bank governor says raising rates, tightening would be 'inappropriate'

Bank of Japan Gov. Haruhiko Kuroda is due to step down after 10 years in office next year. He has pledged to maintain the bank's ultraloose policy until inflation reaches 2%. (Pool photo)

TOKYO -- The Bank of Japan continued to buck the global trend of monetary tightening to fight rising inflation, keeping its own policy ultraloose even as the yen nose-dives against the dollar.

"Raising interest rates or tightening monetary policy would add further downward pressure on a Japanese economy" that is still recovering from the COVID pandemic, BOJ Gov. Haruhiko Kuroda said in a press conference Friday after the monetary policy decision. "Such monetary policy steps would cool the economy and are therefore inappropriate."

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