Bank of Japan holding off fresh stimulus despite evidence of stalling growth
Published on Sep 4, 2014 8:09 PM
TOKYO (AFP) - The Bank of Japan's (BoJ) chief on Thursday stuck by his rosy view of the economy despite mounting evidence that an April sales tax hike has stalled growth.
Mr Haruhiko Kuroda's upbeat take on the world's number three economy has appeared increasingly at odds with the official data, but he brushed off questions about the apparent gap after a meeting where policymakers held fire on launching more stimulus.
"Although there has been a bit of weak data, there is also a favourable cycle of rising income and spending in households and the corporate sector," he told reporters in Tokyo.
"So, the impact of the tax rise and the broader economic trends - excluding the impact of the hike - should be looked at separately."
To continue reading, log in if you are a subscriber
Enjoy 2 weeks of unlimited digital access to The Straits Times. Get your free access now!