Bank of Japan Gov. Haruhiko Kuroda has ruined his chances of getting a second full term, according to Nobuyuki Nakahara, who has advised the prime minister on the economy and was an intellectual father of the BOJ's first run at quantitative easing in 2001.
The central bank's switch to yield-curve targeting compounds its earlier error of adopting negative interest rates and is a disappointing move away from monetary-base expansion, Nakahara, 81, said in an interview on Friday.
In a stinging attack on the BOJ's recent actions, he said the decision to conduct a comprehensive review of monetary policy had invited defeat to its reflationist efforts and would raise questions about Abenomics as a whole.