Can BoJ succeed to obtain a 'carte blanche' for interventions at G20 meet?

Currency policy is seen high on the agenda at the upcoming G20 meet in the face of subdued global growth. The Bank of Japan and the government are watching currency markets as the yen has gained more than 10 percent against dollar this year.

A rising yen tends to worry government officials because it decreases exporters’ earnings and makes it more difficult to shake off deflation by pushing down import prices. Bank of Japan Governor Haruhiko Kuroda acknowledged that inflation expectations have been weakening in recent months.

Kuroda said the central bank was ready to expand monetary stimulus again if recent weaknesses in inflation expectations persist, stressing that there are "many ways" to do so to achieve his ambitious price target.

Japanese authorities last intervened in 2011. At the time, Tokyo got G7 consent to stem a yen spike driven a devastating earthquake.  Verbal interventions have been able to slow the appreciation of the yen for the time being. Bank of Japan might use the opportunity to obtain a carte blanche for interventions at the G20 meet, but several factors make this unlikely. Most importantly, yen is not the only currency affected.