Members of the Bank of Japan’s Monetary Policy Board said that Japan’s economic recovery is continuing at a satisfactory pace in the wake of the COVID-19 pandemic, minutes from the bank’s January 17-18 meeting revealed on Thursday.
Corporate profits and business sentiment continue to improve, the minutes showed, although employment and income remain weak.
To that end, the board said it finds it appropriate to maintain its current monetary easing and support stability in the financial markets.
At the meeting, the BoJ voted 8-1 to maintain its monetary policy stimulus unchanged at -0.1 percent on current accounts that financial institutions maintain at the central bank. It also lifted its inflation forecast for the next fiscal year, citing a rise in commodity prices.
The bank also said it will continue to purchase a necessary amount of Japanese government bonds without setting an upper limit so that 10-year JGB yields will remain at around zero percent.