Reuters reports that Bank of Japan Governor Haruhiko Kuroda reiterated the central bank's readiness to ease monetary policy further if needed, with a close eye on the coronavirus pandemic's impact on the economy.

Kuroda said economic activity will remain below pre-pandemic levels for the time being as curbs to prevent the spread of the virus weigh on service industries.

But he said Japan's economy will likely recover as the pandemic's impact subsides, with solid export demand underpinning corporate profits and capital expenditure.

"As the pandemic's impact gradually eases, the economy will recover thanks to increasing external demand, loose monetary policy and the effect of government stimulus measures," he said.

In a quarterly report released on Monday, the BOJ raised its economic assessment for two of Japan's nine regions. But it cut its view for two other regions and maintained its view for the remaining areas, as the pandemic continued to hit consumption.