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2010.10.1103:17:00UTC+00Japan Urges Advanced Economies To Persist With Easy Monetary Policy

Bank of Japan Governor Masaaki Shirakawa on Sunday called on the world's advanced economies to stick with an easy monetary policy to drive the recovery.

Speaking in Washington, where he is attending the annual International Monetary Fund - World Bank Summit, he said rich countries needed to continue with the "unprecedented" easy monetary policy, given the current economic conditions.

The Bank of Japan last week surprised markets by lowering its benchmark interest rate to virtually zero, while also unveiling plans to buy up government and corporate bonds for 5 trillion yen ($60 billion).

There is widespread speculation that other advanced economies such as the U.S. and the U.K may be about to follow Japan's lead and extend another round of monetary easing.

Copyright(c) 2010 News.com, Inc. All Rights Reserved

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