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BOJ's Mizuno: Japan output,export recovery may slow

Published 08/19/2009, 10:18 PM
Updated 08/19/2009, 10:21 PM

OKAYAMA, Japan, Aug 20 (Reuters) - Bank of Japan board member Atsushi Mizuno said on Thursday the recovery in Japanese output and exports may slow from autumn because of the tentative improvement in the U.S. and European economies.

"Global financial and economic conditions remain fragile and can't achieve a sustained recovery without support from governments and central banks," Mizuno said at a meeting with business executives in Okayama, western Japan.

A former bond strategist, Mizuno voted against the BOJ's decision to cut rates in October last year, arguing that such a move would do little to boost the economy.

But he supported the BOJ's subsequent rate cut in December and also called for unconventional policy steps in February this year to prevent the economy from worsening further.

Mizuno's five-year term on the board expires in December. (Reporting by Leika Kihara)

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