TOKYO — The Bank of Japan will continue to normalize policy as the economy continues to move toward steady 2% inflation, Governor Kazuo Ueda reiterated as he answered questions from lawmakers at a finance affairs committee hearing on Friday.
“There is no change in our basic position that we will adjust monetary policy as we gain confidence in the likelihood that the economy will achieve stable 2% inflation,” Ueda said. The hearing was called on July 31 after a rate hike by the BOJ triggered major market panic the following week, with lawmakers demanding an explanation of how the BOJ intends to continue the policy it launched in March.