Bank of Japan Gov. Haruhiko Kuroda on Monday reiterated his caution about rapid yen
USDJPY,
weakness and promised to maintain close coordination with the government.
“Rapid movements in currencies are not desirable for the Japanese economy because it would raise uncertainty and make it difficult for companies to come up with business plans,” Kuroda told business leaders in Nagoya, home to many manufacturers and close to Toyota Motor Corp.’s
7203,
headquarters.
Meanwhile, Kuroda stuck to his view that Japan still needs monetary stimulus.
“The bank deems that it should continue with monetary easing and thereby firmly support economic activity,” Kuroda said. “By doing so, it aims to provide a favorable environment for firms to raise wages and to achieve the price stability target in a sustainable and stable manner, accompanied by wage increases.”