Haruhiko Kuroda, governor of the Bank of Japan, had an optimistic outlook on the global economy despite recent market events, saying strong corporate profits and strong fundamentals would boost growth in advanced economies.
Fears of escalating tensions in global trade and U.S. interest rates hikes may have dampened growth in global markets, prompting the International Monetary Fund to warn of increased risk to the global economic outlook.
However, Kuroda was not troubled by market turmoil as strong Japanese and foreign firms' earnings are expected to help prevent equity markets from further declines.
"There is no change in the strong fundamentals of the economies of Japan, the United States and Europe, and we will continue to monitor the impact of domestic movements and foreign markets on Japan's economy and on prices," Kuroda said after attending a G20 finance leaders meeting on the sidelines of IMF meetings in Bali.
