BoJ’s Harada: Wages, prices will both increase if BoJ continues current monetary policy

Reuters is out with the latest remarks from the Bank of Japan (BoJ) board member Yutaka Harada, as he expresses his view on the central bank’s monetary policy programme.

Key Headlines:

Wages, prices will both increase if BoJ continues the current monetary policy.

BoJ will scale back the degree of monetary easing if momentum in inflation big enough.

Banks are facing difficulty not just because of low rates but because of lack of fund demand.

BoJ may suffer losses when it ends easy policy but that won't cause damage to the economy.

BoJ will reduce the degree of monetary easing or tighten policy when there is conviction inflation will hit 2%.

Nothing unusual about BoJ being late in ending easy policy compared with Fed, ECB as inflation still below 1%.

Lowering CPI target would cause yen to strengthen.