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BOJ's Kuroda says Fed rate hikes good for global economy

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By Reuters
BOJ's Kuroda says Fed rate hikes good for global economy
FILE PHOTO: Bank of Japan (BOJ) Governor Haruhiko Kuroda speaks during a news conference at the BOJ headquarters in Tokyo, Japan, September 19, 2018. REUTERS/Toru Hanai   -   Copyright  TORU HANAI(Reuters)

NUSADUA, Indonesia (Reuters) – Bank of Japan Governor Haruhiko Kuroda said on Saturday steady interest rate hikes by the Federal Reserve were “basically good” for the world economy, as they reflect robust U.S. growth that helps fuel global demand.

Kuroda was more cautious about the risks posed to global growth by trade tensions between the United States and China, warning that a further escalation of the conflict would hurt not just the two countries but the world economy as a whole.

“Trade conflict of this scale is rather unusual,” Kuroda told a seminar hosted by the International Monetary Fund. “This is quite a new development for the world economy.”

(Reporting by Leika Kihara; editing by Eruc Meijer)