Japan Moves Away from Loose Monetary Policies

Japan's Economy Minister Minoru Kiuchi stated that Japan is no longer in a deflationary phase, and therefore does not require excessively loose monetary policy aimed at pushing inflation higher. This was announced by Kiuchi during a regular news conference in Tokyo.

Kiuchi declined to say whether the government opposed further central bank interest rate increases but emphasized that Japan has moved past the era of reflationist policies pursued under Abenomics. He described the policies of Prime Minister Sanae Takaichi as different from those introduced by former premier Shinzo Abe in 2013.

Kiuchi reiterated that Japan is no longer in a deflationary period and so does not need excessively loose policy that pursues inflation. His comments came in response to reporters asking about the government's views on monetary policy, following a summary of opinions from the Bank of Japan September policy meeting.