politics

Abe expected to tip BOJ board closer to his views in 2015

15 Comments
By Leika Kihara

The requested article has expired, and is no longer available. Any related articles, and user comments are shown below.

© (c) Copyright Thomson Reuters 2014.

©2021 GPlusMedia Inc.

15 Comments
Login to comment

Two vacancies opening up in the Bank of Japan next year give Prime Minister Shinzo Abe a chance to tip the board’s balance in favor of further monetary stimulus, removing a headache for his hand-picked central bank head.

Did the voters know they were in effect voting for a new Emperor last Sunday? Because that is what they've got for the next four years.

-1 ( +4 / -5 )

".....radical monetary experiment that pumps roughly 10 trillion yen each month into the economy."

White at the same time REMOVING about 10 trillion yen each month in institutions' assets. Which is why there's no inflation. Amazing how few people realize this this fairly obvious fact, including Reuters writers.

0 ( +3 / -3 )

More and more like China every day. The man wants complete power and the sheeple are letting it happen.

-1 ( +3 / -4 )

Can this country still claim to have a democracy?

2 ( +3 / -1 )

If ever there was time the BOJ board needed to be independent from the political straightjacket of government meddling it is now. Abe san will have to face up sooner or later to the principles of his self styled 'Abenomics'. Reform and restructuring of every aspect of government, employment, agriculture, benefit system.

0 ( +0 / -0 )

control the money, control the military, control the country, appoint yourself as Emperor while overthrowing another, yes this sound vary familiar to pre war Japan. Emperor Abe has spoken, along with his ministers the slaves have nothing to do except say, Hai.

1 ( +1 / -0 )

bjohnson23

control the money, control the military, control the country, appoint yourself as Emperor while overthrowing another, yes this sound vary familiar to pre war Japan. Emperor Abe has spoken, along with his ministers the slaves have nothing to do except say, Hai.

How the hell do you get from naming appointees to the BOJ (which is the JOB of the PM and always has been) to overthrowing the Emperor?

Yeah, I get it. You don't like Abe. But let's try and keep a little perspective, shall we?

-2 ( +1 / -3 )

This Guy is playing with Fire.

0 ( +0 / -0 )

You don't like Abe. But let's try and keep a little perspective, shall we?

Here's some "perspective" for you: The BOJ is supposed to be independent from the government. It's a principle common to many democracies. But such principles are not much of a concern for the likes of Abe.

0 ( +1 / -1 )

@jefflee

Has it ever been the case that the PM wasn't responsible for BOJ appointments?

Correct me if I'm wrong, but in most democracies this responsibility falls to the minister of finance or pm/president.

0 ( +2 / -2 )

Hi hokkaidoguy, If I may simply using the Bank of England as a comparison, in 1997 Gordon Brown the then Chancellor of the Exchequer had parliament vote to give the Bank operational independence to pursue price stability. However this did little to prevent the global financial crisis 2007/8, and it wasn't until 2012 that legislation established an independent Financial Policy Committee.

Separately The Office for Budget Responsibility set up in 2010 provides independent analysis of the UK’s public finances. It no means a solution to government taking risks with tax payers money. And some feel it's function undermines the process of democratically elected government. But it certainly represents a counter to party politics playing fast and loose with the nations finances.

You are quite correct Prime Minister Shinzo Abe can legitimately influence the election of BOJ board members, quote, 'break with that tradition and intervene more heavily in the personnel choices'.....

1 ( +2 / -1 )

Abe should leave BOJ alone and independent. Would it be possible? I am afraid he will NOT.

2 ( +2 / -0 )

The irony is that Abe san has it within his grasp to return j economy to its rightful number two, if he divested his party of its senile window licking right wing nasties. Adopt the genuine political middle ground. Expose the political intransigence of both governments of China and South Korea by diplomatically acknowledging historic atrocities, whilst retaining acceptance for the need to build relationships that compliment future domestic political harmony. China to fully adopt the principals of international law, full demilitarisation, move towards an APAC free trade zone, eventually curtailment of US bases and personal. It is all possible.

0 ( +0 / -0 )

"However this did little to prevent the global financial crisis 2007/8"

The Bank England didn't cause the crisis and didnt have a role in it. It was the result of unregulated actions by US subprime institutions and investment banks, mainly on Wall St., that created toxic instruments behind closed doors and who choose not to notify the authorities about the risks.

B of E independance would have had zero bearing on these developments. Independance is designed to keep politicians' hands off the money printing presses. Abe stated from the outset that he opposes this principle and vowed to appoint only people who conform to his political goals.

1 ( +1 / -0 )

Hi JeffLee, well it complex for instance the guardian newspaper (left of center) thinks in Northern Rocks case the BOE dropped the ball...but yes I agree political independence is paramount when decisions have to be made to deal with sovereign debt. I have the crisis to thank for my occupation.

http://www.theguardian.com/business/2012/jun/13/bank-england-labour-blame-northern-rock

0 ( +0 / -0 )

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites