The Bank of Japan kept its massive stimulus unchanged on Thursday as expected by economists.
In a statement, the BoJ announced that the policy board headed by Governor Haruhiko Kuroda decided by an 8-1 majority vote to maintain the size of quantitative and qualitative easing.
Accordingly, the bank will continue to increase the monetary base at an annual pace of about JPY 80 trillion.
The BoJ last expanded the stimulus in October after it noted downward pressure from a substantial decline in crude prices hindering its ability to reach 2 percent inflation target.
More monetary easing will be needed before too long, Marcel Thieliant, a Japan economist at Capital Economics said. More stimulus could either be introduced at the July meeting, when the bank publishes interim forecasts, or alongside the publication of the next outlook report in October.
The bank is set to release of the “Outlook for Economic Activity and Prices” later today.
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