WASHINGTON Feb 15 Japan's monetary policy only
targets domestic objectives, and therefore should not be
perceived as trying to manipulate the yen, an economic adviser
to Prime Minister Shinzo Abe said on Friday.
"As long as Japan is trying to aim at its own domestic goal
of price levels, that will result in some particular exchange
level," Koichi Hamada, Abe's special economic adviser, said at a
speech at the Peterson Institute for International Economics, a
"I do not think it is a manipulation."
Some U.S. and European officials have said Tokyo was aiming
to guide the yen lower with its aggressive expansion of monetary
policy, but Japan has said it is simply trying to reflate its
Hamada, a Yale University professor, said Japan should not
be criticized for its domestic policies, just as the country did
not critize Britain and the United States for expanding their
money supply in the midst of the financial crisis, after the
collapse of the financial firm Lehman Brothers.
"Our ministers are saying, we did not complain to the Bank
of England or the Federal Reserve when the U.S. tried to cope
with the Lehman shock with expansive monetary policy," he said.
"They say we are not to be criticized for taking aggressive
monetary policy (actions)."