BOJ’s Adachi says it’s premature to tweak ultra-loose policy

KAGOSHIMA, Japan (Reuters) – Bank of Japan board member Seiji Adachi said on Wednesday it was too early to phase out ultra-loose monetary policy given the high uncertainty over the price outlook.

“We’re seeing some changes in the public’s deflationary mindset, or the perception that prices won’t rise,” Adachi said in a speech to business leaders in Kagoshima, southern Japan.

“In a sense, we’re moving closer to achieving our price target. But there’s high uncertainty over our baseline inflation outlook, so it’s premature to tweak monetary policy,” he said.

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