Further BOJ easing may have demerits – BOJ’s Takahashi

FXStreet (Mumbai) - Japanese economic council member Takahashi said on Tuesday cautioned that a further Bank of Japan (BOJ) monetary easing could have demerits like rising imports cost from a weaker Yen.

Takahashi stated that the negative effects of weak Yen would resurface once oil prices rebound – leading to high import cost.

He further added that the BOJ’s monetary easing and the resulting low borrowing costs should be accompanied by fiscal reforms, however, he is of the view that excessive spending cuts could kill positive economic momentum, like witnessing in Greece.