Takahide Kiuchi, a former Bank of Japan member, made the following remarks:
• The Bank of Japan is likely to continue the process of ending the stimulus program.
• The Bank of Japan may also consider changing long-term interest rates soon.
• The Bank of Japan has begun to normalize its monetary policy since it turned into a policy of controlling the yield curve last year, apparently the direction the bank will take.
• Current bond purchases are likely to reach limit levels by mid-2018.
• Targeting 3-5 year JGB instead of 10-years bonds may be an option for the Bank of Japan were normalizing its monetary policy.
• The Bank of Japan may abandon its policy of controlling the yield curve and increasing bond purchases to finance the fiscal spending of the economy, which is suffering a sharp contraction.
• With inflation still weak despite the massive easing policy that has persisted for years, BOJ could redefine the inflation target to be more flexible and aimed at a longer time frame.