Tokyo (Japan), June 16: The Japanese government on Wednesday heaped pressure on the Bank of Japan (BOJ) to help address the yen's slump, ahead of its two-day policy meeting starting Thursday.
"We expect (the BOJ) to appropriately take necessary measures in coordination with the government," Chief Cabinet Secretary Hirokazu Matsuno told a press conference.
The Japanese currency has dropped against the U.S. dollar to its lowest levels in 24 years, fueling speculations that the central bank will be forced to fine-tune its ultra-loose monetary policy.
The BOJ has kept the interest rates extremely low in contrast with its U.S. counterpart raising rates in stages.
"Excessive volatility and disorderly movements (in foreign exchange rates) adversely impact the stability of the economy and financial system," Matsuno said.
"We will closely cooperate with U.S. and other monetary authorities and respond appropriately when necessary," he added.
Matsuno declined to comment on the possibility of the government intervening in the currency market to curb the yen's decline, which has stricken the country's economy with surging prices as a result of higher import costs.