Capital Economics Sees Japan Inflation at 0.5 Percent

The transcript discusses the Bank of Japan's (BOJ) optimistic inflation forecasts, despite challenges in achieving them due to a tight labor market and deflationary mindset. It highlights the BOJ's efforts to stimulate the economy and the gradual rise in inflation, while noting the impact of negative interest rates on banks. The BOJ's strategy focuses on changing inflation expectations and achieving economic growth, but challenges remain in dispelling long-standing deflationary attitudes.

What is the general sentiment regarding inflation expectations among households and companies?

What signs of economic recovery did Governor Kuroda mention?