BoJ’s Suzuki: Important to maintain powerful monetary easing

The Bank of Japan (BoJ) board member Suzuki was on the wires last minutes, via Reuters, making some comments on the monetary policy and economy.

Key Headlines (via Reuters):

Important to maintain powerful monetary easing.

BoJ must appropriately adjust amount of its bond buying operation with an eye on demand from financial institutions.

Japan’s financial system remains stable but must monitor regional banks’ risk-taking activity, business conditions.

BoJ must be mindful of making its framework sustainable as inflation may remain subdued for prolonged period.

BoJ does not intend to raise interest rate levels now, so will act swiftly via market operations if yields rise rapidly.

If JGBs remaining in market continues to fall, financial institutions’ bond holdings may gradually approach minimum required levels.

If economy slips into recession, Japan’s financial institutions may face rise in credit costs, deteriorating profits.

Downside risks surrounding overseas economies appear to be heightening.

Japan’s economy likely to continue expanding as a trend.

Japan’s exports likely to sustain uptrend due to steady overseas growth.

Economy sustaining momentum towards achieving the BoJ’s inflation goal.