The Bank of Japan’s two-day Policy Boardmeeting, which concludes next Friday, will beovershadowed by the release of the Tankan surveyand the confirmation of the government’s decisionon the consumption tax, both due on Tuesday. Wedo not expect these announcements alone toprompt the central bank to loosen monetary policyfurther, especially if the government plans to offsetmost of the impact of the expected tax hike withadditional fiscal stimulus instead. That said, westill expect the Bank to extend its asset purchaseprogramme beyond the end of 2014, but thisdecision could wait until next year.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services