BOJ Governor Kazuo Ueda is keen to unwind the policy, but rushing in could get it wrong. He should draw on his past instincts.
Rarely has such major significance been attached to 10 basis points. Since he took office in April, Bank of Japan Governor Kazuo Ueda has been considered a skeptic of negative interest rates. Despite a recent eye-popping rally in the yen driven by expectations of a quick demise for this unusual setup, the central bank should feel under no pressure to quit the practice of penalizing people for saving. Prizes aren’t awarded for haste, as the governor knows from his own past.