The Bank of Japan (BOJ) needs to be stopped by law from ever backtracking from its two percent inflation target, the architect of Abenomics told CNBC on Wednesday.
"As long as (current governor Haruhiko) Kuroda is the governor of the BOJ - that's okay, but we're afraid of the BOJ's old type of monetary policy will come back again," ruling Liberal Democratic Party lawmaker Kozo Yamamoto, a close adviser to Prime Minister Shinzo Abe who has been dubbed the "architect of Abenomics" told CNBC.
"So, we'll like to change the role and institutionalize the inflation target policy," by amending the Bank of Japan law, he added.
Yamamoto has been championing to enshrine the BOJ's inflation targets since last month, when the the central bank lowered its consumer inflation forecast for the fiscal year ending March 2016 to 1.0 percent, half the 2 percent target it set when it launched its massive monetary stimulus program nearly two years ago.
Japan's been struggling to reflate its economy, but a hike in consumption tax last April hampered those efforts.