BOJ Kuroda - Won't hesitate to ease if price goal threatened

TOKYO (Reuters) - Bank of Japan Governor Haruhiko Kuroda on Wednesday reiterated the central bank's readiness to expand monetary policy further if risks threaten the achievement of its 2 percent inflation target.

"Markets remain unstable due to investors' risk aversion. The BOJ will closely watch financial market moves and their impact on the economy and prices," Kuroda told parliament.

BOJ policymakers will likely debate the possibility of easing monetary policy further at a rate review next week, as a raft of gloomy data threatens their scenario that a moderate economic recovery will accelerate inflation towards a 2 percent target, sources have told Reuters.

(Reporting by Leika Kihara; Editing by Chang-Ran Kim)