The impact of the SVB collapse on global markets was a topic of discussion at the Bank for International Settlements (BIS) conference earlier this week. According to Bank of Japan (BoJ) departing Governor Haruhiko Kuroda.
Delegates at BIS meetings reportedly expressed relief that US authorities moved quickly to mitigate the harm caused by the collapse of SVB.
Kuroda spoke on monetary policy as follows:
BoJ must continue its present monetary easing. But there will likely be room to think about countermeasures to the policy’s negative repercussions.
It is conceivable to sustainably and steadily attain our pricing objective. Along with wage growth, while taking care of the adverse consequences of our policy. By keeping the existing easy approach.
BoJ has the potential to leave the easy policy in its wake and will undoubtedly do so. when the 2% inflation objective is consistently and sustainably fulfilled, do so.
