Economy and Finance Minister Minoru Jōnai said at a press conference after the Cabinet meeting on the 2nd that the Bank of Japan's large-scale monetary easing, known as "unprecedented easing" or QQE, along with yield curve control, or YCC, have come to an end, and pointed out that "reflation policy in the narrow sense is already over." Jōnai has explained at a September press conference that "reflation policy in the Abenomics sense has ended." In financial markets, some interpret the large-scale fiscal spending that relies on the Bank of Japan's government bond purchases under monetary easing as reflation policy, so reporters asked Jōnai to confirm the true meaning of his statement that reflation policy is over. Jōnai said that "the current situation is not deflation," and repeated his long-held view that Abenomics was a reflation policy aimed at escaping deflation, and that it differs from Sanaenomics, the Takaichi administration's economic policy of boosting supply capacity through a growth strategy. At the same time, he also said that "part of Abenomics is being carried on."
Finance Minister Jōnai declares BOJ's unprecedented easing and YCC have ended, signaling policy normalization that supports the yen.
