TOKYO (Reuters) - Bank of Japan Governor Haruhiko Kuroda said on Monday he did not think the recent weakening of the yen was severely hurting the country’s economy.
“It’s desirable for exchange rates to move stably in a way that reflects economic fundamentals,” Kuroda told parliament.
“If the yen is indeed moving in that manner, I don’t think it will have a negative effect on the economy as a whole.”
A weak yen boosts profits at big exporters, but hurts small non-manufacturers and squeezes households’ disposable income by pushing up the cost of imports, Kuroda said.
Reporting by Leika Kihara; Editing by Chang-Ran Kim