BOJ rift surfaces over easing as political debate heats up

TOKYO/NAGOYA: A split within the Bank of Japan was laid bare on Monday, with newcomers to its board pressing to strengthen commitment to an ultra-loose policy, as pressure on the central bank for bolder action intensified in the run up to next month's election.

In an effort to shift the debate away from the central bank, BOJ Governor Masaaki Shirakawa repeated his view that monetary easing alone cannot beat deflation, urging the government to pursue fiscal reform and deregulation to boost domestic investment.