Bank of Japan (BoJ) Governor Haruhiko Kuroda said on Monday that the recent rise in the yen may have a negative impact the recovery of Japan's economy.

"We are closely watching how such market developments could affect Japan's economy and prices," he added.

Kuroda reiterated that the BoJ was ready to add further stimulus measures if needed to reach 2% inflation target.

The BoJ pointed out that the central bank's monetary policy did not target the weakening of the yen.