The Bank of Japan will pursue powerful monetary easing until a 1 percent rise in the consumer price index comes into sight, BOJ Gov. Masaaki Shirakawa said Monday.
On the domestic economy, the central bank chief warned there is a preponderance of downside risks, citing such factors as uncertain developments in the European debt crisis and the possibility of a prolonged slowdown in the Chinese economy.
Due to "considerable uncertainties," especially in future developments in overseas economies, "relatively close attention should be paid to the downside risks," Shirakawa said in a speech in Tokyo.