TOKYO (Reuters) – The Bank of Japan’s 2% inflation target has pulled Japan’s economy out of deflation, Governor Haruhiko Kuroda said on Tuesday, adding that this was not a mistaken policy.
“As a result of the Bank of Japan’s policy of seeking to achieve its 2% price target, we are no longer in a deflationary situation,” Kuroda said, answering questions after a speech on climate change policy.
Despite having failed to meet its 2% inflation target for nearly a decade, Kuroda said the central bank’s policy has been in a right course.
“Corporate profits and growth rates have much improved, compared to the era of deflation,” he said.
(Reporting by Takashi Umekawa; Editing by William Mallard)
