TOKYO (Reuters) - Bank of Japan Governor Haruhiko Kuroda said on Thursday consumer inflation was “moving around 1 percent,” offering a brighter view on prices than he did three months ago.
“Japan’s economy is expected to continue expanding moderately,” Kuroda said in a speech to a quarterly meeting of the central bank’s regional branch managers.
“The BOJ will make necessary policy adjustments to sustain the economy’s momentum to achieve the price target ... while looking at risks that warrant attention,” he said.
At his speech at the previous meeting three months ago, Kuroda had said inflation was moving around 0.5 to 1 percent.
Under a policy dubbed yield curve control, the BOJ guides short-term interest rates at minus 0.1 percent and the 10-year government bond yield around zero percent to achieve its 2 percent inflation target.
Reporting by Leika Kihara; Editing by Chang-Ran Kim