ATHENS, June 19 The Bank of Japan sees no threat
of deflation in the euro area because the European Central Bank
(ECB) has beefed up its arsenal to avert any such risk, deputy
central bank governor Hiroshi Nakaso said on Thursday.
"The ECB has made substantial progress... so I don't think
the euro area faces an imminent threat of falling into a
Japanese-like deflation," Nakaso told a central banking
conference in Athens.
Nakaso was referring to measures the ECB announced earlier
this month, such as negative interest rates, to kickstart growth
and provide liquidity to the bloc's banks.
(Reporting by Harry Papachristou and George Georgiopoulos)