Bank of Japan Gov. Haruhiko Kuroda said Tuesday additional monetary easing by the central bank will not be limited to cutting interest rates, while adding that the economy is likely to stay firm despite the recent consumption tax hike.
The BOJ last week said it would further lower borrowing costs if necessary, sending a clearer message to markets as pressure builds on it to follow its U.S. and European counterparts in extending stimulus amid signs of a global economic slowdown.
Speaking at a meeting with business leaders in Nagoya, Kuroda said the BOJ's new forward guidance means that "there would be a downward bias in the policy rates."