IMF says the yen remains a safe haven currency – Japan economy strong, stable, predictable

Reuters on comments from a senior International Monetary Fund (IMF) official:

• Bank of Japan likely to push back timing of further rate hikes if IMF’s reference scenario materializes

• Japan’s inflation likely to converge to BOJ’s target sometime in 2027 rather than in 2026, as initially expected

• Balance of risks is to the downside for Japan’s economic growth, inflation

• Yen remains safe-haven currency given strength, predictability and stability of Japan’s economy

• IMF supports Japan’s commitment to flexible foreign exchange regime, which helps absorb shocks

This article was written by Eamonn Sheridan at www.forexlive.com.