Reuters reports that Bank of Japan Governor Haruhiko Kuroda said the central bank will work closely with the new government led by Yoshihide Suga to combat the pain inflicted on the economy by the coronavirus pandemic.

"Japan's economy will likely follow an improving trend. But the pace of improvement will only be moderate as the impact of COVID-19 remains worldwide," Kuroda said.

"The BOJ will continue supporting the economy in cooperation with the new government," he added.