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BOJ Oct 31 minutes: some members worry about perception BOJ is financing deficit

TOKYO, Nov 25 (Reuters) - Some Bank of Japan board members expressed concern that expanding the central bank's quantitative easing could increase the risk that it will be seen as financing the government deficit, minutes of an Oct. 31 meeting showed.

Some members said the expanded quantitative easing may not yield as much results as when the BOJ first introduced the policy, the minutes showed.

The minutes also showed that BOJ Governor Haruhiko Kuroda proposed expanding debt and risk asset purchases to maintain its commitment to reaching its 2 percent inflation target next year.

The BOJ stunned investors at its Oct. 31 meeting by expanding its quantitative easing, increasing annual government debt purchases to 80 trillion yen from 50 trillion yen in an admission that inflation was undershooting its price target.

Four of the BOJ's nine board members opposed the decision last month to expand policy.

(Reporting by Stanley White; Editing by Kim Coghill)


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