TOKYO, April 26 Japanese inflation is likely to
rise to around 2 percent during the latter half of the coming
three-year period covered in the Bank of Japan's latest
semi-annual economic and price outlook, the central bank said on
"Quantitative and qualitative monetary easing is expected
not only to work through such transmission channels as long-term
interest rates and asset prices, but also to lower real interest
rates through a pickup in inflation expectations," the BOJ said
in its report.
The BOJ also repeated its mantra that it will continue its
monetary easing as long as needed to achieve 2 percent inflation
in a stable manner.