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Bank of Japan (BoJ) Governor Haruhiko Kuroda said on Monday that the central bank would analyse the effect of negative interest rates.
"The Bank will continue to carefully monitor developments in the money market," he said.
Kuroda reiterated that the BoJ would expand its quantitative easing if needed.
The BoJ expects the inflation in Japan to reach 2% target.
"Deflation will not return to Japan. Price stability with 2 percent inflation will definitely be achieved," he noted.
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