Japanese firms want new BOJ governor to prioritise financial stability

A Reuters monthly poll revealed that the majority of Japanese companies surveyed (about 52%), want Bank of Japan (BOJ) Governor Kazuo Ueda to prioritise financial market stability over any easing of its ultra-loose monetary policy. Only slightly less than a quarter of the companies polled sought a revision of the BOJ's negative interest rate policy, down from almost half when Ueda was nominated for the post two months ago. Furthermore, only 16% of companies surveyed urged the central bank to revise its inflation target, down from 28% in February. Ueda has indicated his intent to maintain loose conditions, despite Japan still being on course to reach the central bank's 2% core inflation target. The BOJ board will announce fresh quarterly growth and inflation forecasts at its first policy meeting on April 27-28.