BOJ Governor Kuroda said during his speech to parliament that the purpose of the government bond purchase program is to reach the inflation target of 2%. His most prominent comments were as follows:
- Government bond purchases are not intended to generate government debt.
- Markets understand the Bank's intention to buy bonds.
- We must continue expansionary monetary policy to support rising inflation.
- It is possible to reduce the balance sheet at the appropriate pace when it is time to exit the mitigation policy.
