BoJ may shift policy focus to rates as monetary firepower wanes

  • Economy
  • Monday, 19 Sep 2016

TOKYO: The Bank of Japan (BoJ) could shift negative interest rates to the primary focus of its monetary policy on Wednesday, heightening market disquiet over what any move away from quantitative easing reveals about the waning firepower of global central banks.

With three years of massive money printing failing to push up inflation, the BoJ is expected to move away from shock therapy and towards a protracted battle against deflation, say sources familiar with its thinking.