Japan: Enjoy the Vibrant External Demand
April 27, 2017
Japan is going through a positive macro momentum, mainly supported by the uptrend in exports. Ongoing support from monetary policy is today complemented more by expansionary fiscal policy. We expect inflation to be heading higher in H2 2017, but BoJ will likely remain extremely accomodating until inflation is strcuturally close to or above the 2% target.