TOKYO : Bank of Japan must be ready to work further towards improving market functions if needed, a central bank policymaker was quoted as saying at a March meeting, underscoring the bank's concern over the rising cost of its bond yield control policy.
Many BOJ board members at the March meeting said the central bank must maintain its massive stimulus to support the economy and ensure Japan would sustainably achieve the central bank's 2 per cent inflation target, the summary of opinions at the meeting showed on Monday. "Although the widening of issuance spreads on corporate bonds has paused, the effects of deterioration in the functioning of the Japanese government bond market remain and warrant close monitoring," according to one opinion.