Japanese Prime Minister Shinzo Abe mentioned that the central bank if centered on the monetary policies directed towards the achievement of the 2 percent inflation target regardless of who will be the succeeding governor of the Bank of Japan, according to Nikkei publication on Wednesday. It was also said that the Prime minister is confident that BOJ Governor Haruhiko Kuroda as his plans to boost the monetary stimulus has greatly improved the employment and shifted the problems in deflation. The government anticipated the central bank to carry out what they are doing now to meet the target. Although, he avoided to comment on the next candidate when his term ends next year. Regarding the plan to increase Japan’s sales tax to 10 percent from 8 percent in October 2019. The BOJ was unsuccessful to reach the seemingly improbable inflation target as households and companies remain anxious of increase spending. Although, some people are averse to the present inflation target of BOJ saying that it was too high for the nation which has been stuck in deflation for two decades.
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