(by Sh.Nakata)

Japan will not tighten its monetary policy as the consumer prices became positive, said Bank of Japan’s governor Toshihiko Fukui on Tuesday.

Consumer price index did not change in the recent events, making the governors to sigh with relief. “Rather than an ultimate goal, a zero per cent change in the CPI is merely a passing point,” said Mr. Fukui in an interview.

The statement comes amid highly awaited ’Outlook for Economic Activity and Prices’ report on Friday. The report will show the bank’s forecast for the year ending March of 2006. The outlook is expected to reveal optimism as to the recovering economy.