BOJ’s Funo: Japan’s economy may be affected by overseas slowdown for time being

More comments are crossing the wires from the Bank of Japan (BOJ) board member, as he now sheds some light on the Japanese economic outlook.

BOJ can play a role in boosting Japan’s growth potential by continuing powerful monetary easing for a sustained period.

Overseas economies are likely to grow moderately as a whole after some period of slowdown.

Overseas economies are unstable, so must be vigilant to impact on Japan’s corporate, household sentiment.

Japan’s economy may be affected by overseas slowdown for time being, but likely to keep expanding as a trend.

Japan exports hovering on a weak note but likely to resume moderate uptrend as overseas growth picks up.

Prices are affected by various factors but their trend is determined by the economy’s output gap

Japan’s inflation likely to gradually accelerate as a positive output gap prods firms to increase wages, prices.

Positive changes in inflation may take time to appear as it’s not easy to change corporate, household behavior.