BOJ Independence Reaffirmed as Mimura Defers to Central Bank

Japan's Vice Finance Minister for International Affairs, Atsushi Mimura, has clarified that specific monetary policy steps are up to the Bank of Japan (BOJ) to decide. This reaffirms the government's stance on central bank independence and reduces speculation about potential FX intervention.

Mimura made his comments during a regular press briefing in Tokyo, where he also emphasized that the government expects the BOJ to achieve its price stability target sustainably. However, he noted that the choice of policy tools remains the central bank's prerogative.

The yen has been under pressure in recent months, trading near multi-decade lows against the U.S. dollar. While Japanese officials have previously issued verbal warnings about currency weakness, Mimura's comments suggest a hands-off approach from the government.