On November 19, Japanese Finance Minister Masajuro Shiokawa formally asked the Bank of Japan not to neutralize the monetary effects of any foreign exchange interventions that the Ministry of Finance (MF) might undertake. The move surprised many analysts because it potentially gives the MF leverage over Japanese monetary policy and could compromise the Bank of Japan’s independence.
Suggested citation: "Japanese Interventions," Federal Reserve Bank of Cleveland, Economic Trends, no. 02-12, pp. 09, 12.01.2002.