Atsushi Mimura stated that forex intervention serves as a key tool to send messages to markets. The Finance Ministry official said it should be deployed when exchange rate moves clearly deviate from economic fundamentals.
Mimura explained that intervention should be considered when foreign exchange market moves clearly deviate from economic fundamentals and persist. The remark offers guidance to market participants on policy responses during periods of sharp currency fluctuations. As a Finance Ministry official, Mimura reiterated the criteria for judging when such intervention is warranted.
