BoJ's Amamiya: BoJ long way from exit

Bank of Japan (BoJ) Deputy Governor Masayoshi Amamiya is hitting wires with his assertion that the BoJ is still deeply entrenched in its current policies, and is unlikely to exit from current mechanisms anytime soon.

Key highlights

Japan's economy is maintaining its momentum towards the BoJ's desired 2% target.

The BoJ is "very far off from the exit" regarding its hyper-easy monetary policy.

It would be inappropriate to normalize policy settings too early, despite the need to create policy room to address potential future shocks.

On the side effects of easy policy, and the chance they could harm Japan's economy rather than help: "I don't think the side effects exceed the benefits at this point, but the effects are cumulative and we're watching this carefully".