The yen slid past 161 per US dollar on June 28, well below levels that triggered the last bout of intervention in end-April and early May.
“But it’s hard to say until we see how his successor steers policy. All in all, I don’t think the big policy direction would change much.” “Excessive volatility in the currency market is undesirable,” Finance Minister Shunichi Suzuki told a news conference on June 28, adding that the authorities would “respond appropriately” to such moves.
A weaker yen is a boon for Japanese exporters, but a headache for policymakers as it increases import costs, adds to inflationary pressures and squeezes households. Mr Mimura’s appointment will take effect on July 31 after the meeting of the Group of 20 finance ministers and central bank governors in Rio de Janeiro from July 25.Currently head of the Finance Ministry’s international bureau, the 57-year-old will become vice-finance minister for international affairs – a post that oversees Japan’s currency policy and coordinates economic policy with other countries.