Bank of Japan Gov. Haruhiko Kuroda said Monday the central bank hoped to respond appropriately on currency markets in close coordination with the government, issuing a fresh warning against recent sharp declines in the yen.
"I told the prime minister that recent rapid yen moves were undesirable," Kuroda told reporters after a meeting with Prime Minister Fumio Kishida at the prime minister's official residence.
"(Kishida) did not say anything special, but I told him that it was important for currencies to move stably reflecting economic fundamentals," Kuroda added.
Rapid yen weakening as seen recently will bring uncertainty to corporate business planning, he said.
"I'll fully watch currency movements carefully from now on, as well, and will appropriately respond to them while liaising with the government."
Kuroda said he exchanged views with the prime minister on the global economy and financial markets at the meeting, which was part of a routine gathering between the two.
The BOJ maintained ultralow interest rates Friday and vowed to defend its cap on bond yields with unlimited buying, bucking a global wave of monetary tightening in a show of resolve to focus on supporting a tepid economic recovery.
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