ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Economy

Bank of Japan wakes up to the downside of monetary easing

Expressions of concern over weak lenders reflect shift in priorities for central bank

Bank of Japan Gov. Haruhiko Kuroda must balance the need to push prices higher against the threat to lenders' financial health from ultralow interest rates.

TOKYO -- When the Bank of Japan began its program of monetary easing -- printing money to buy bonds -- almost two decades ago, the idea was to snap the country out of its long deflationary funk. Now the bank is waking up to the side effects: banks that are barely profitable and reluctant to lend.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more