Moody's Says Japan QQE Unlikely to Meet Target in Timeframe
- `Abenomics has not changed mindsets,' De Guzman says
- Company remains `comfortable' with Japan's A1 rating outlook
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The Bank of Japan’s quantitative and qualitative easing program is unlikely to reach its target of boosting inflation to 2 percent within its target time frame next year, according to Moody’s Investors Service.
“It would seem that the QQE program at the BOJ as well as the continued application of Abenomics has not changed mindsets,” Christian de Guzman, a senior analyst at Moody’s, said in a press briefing in Tokyo on Thursday. “Consumers continue to not spend, and corporates, despite very robust profitability, have not meaningfully increased their investment into Japan.”