BOJ Adopts Abes 2% Target in Commitment to Ending Deflation

This of course fundamentally does nothing of consequence for aggregate demand or the level of the currency. The extra deficit spending due to start in April is what will help a bit.

BOJ Adopts Abes 2% Target in Commitment to Ending Deflation

By Toru Fujioka and Masahiro Hidaka

January 22 (Bloomberg) — The Bank of Japan set a 2 percent inflation target and shifted to Federal Reserve-style open-ended asset purchases in its strongest commitment yet to ending two decades of deflation.