"The BOJ isn't seeking to push up inflation alone. We want to create a situation where wage and employment conditions improve too ... and a positive economic cycle is created," Kuroda told parliament.
Kuroda said the BOJ did not have a specific exit strategy now because it would take "significant time" in achieving its 2 percent inflation target.
"Currency moves could have an impact on the economy and prices, so it's crucial we take into account these factors when guiding monetary policy," Kuroda told parliament.
"The stock market has been somewhat unstable. The fluctuations are partly attributable to changes in perception of various risks surrounding the global economy," he said.
Japanese Prime Minister Shinzo Abe said on Tuesday specific monetary policy steps must be left for the central bank to decide.
Yet, reinforcing premier Shinzo Abe's comments last week and laying the grounds for a future exit from ultra-loose monetary policy, Kuroda said no central bank wants to continue with unconventional monetary easing forever.
Kuroda also voiced concern over the damage escalating trade frictions could inflict on global growth, but repeated his view that the world's third-largest economy was on track for a moderate expansion.
But he reiterated that it was too early to debate specific means to whittle down stimulus with inflation distant from the BOJ's 2 percent target.
With fears of a global trade war and a strong yen clouding the outlook, however, Bank of Japan Governor Haruhiko Kuroda is likely to use his post-meeting briefing to reassure markets the central bank is in no rush to dial back ultra-easy policy.
Core consumer prices are rising around 1 percent, Kuroda said in a speech to BOJ regional branch managers. This was a slight change from his previous speech to branch managers, when he said core consumer prices are around zero.
While offering a sanguine view of the global economy, Kuroda warned of factors that could threaten the recovery including geopolitical risks and the rising tide of protectionism.
Kuroda embarked on an unprecedented burst of monetary stimulus since Prime Minister Shinzo Abe handpicked him a few months after he swept to power in December 2012, pledging to pull Japan out of nearly two decades of stagnation and deflation.
"What's important is for inflation to accelerate, which would give (the BOJ) quite some flexibility in guiding monetary policy," Ito, a Columbia University professor, told a seminar in Tokyo.
With inflation far below a 2 percent target, the BOJ rules out any near-term exit from Kuroda's legacy ultra-easy policy.
Kuroda also defended the BOJ's 2 percent inflation target, considered by many analysts as too ambitious, saying the bank can help keep long-term currency moves stable by setting its price goal at a level equivalent to other central banks.
But new board member Goushi Kataoka dissented to the BOJ's decision to maintain its interest rate targets, saying current monetary policy was insufficient to push inflation up to 2 percent during fiscal 2019.
At a rate review on July 19-20, the Bank of Japan is set to keep monetary policy steady and offer a more upbeat assessment of the economy than it did in June to say it is expanding moderately, said sources familiar with the central bank's thinking.
"It will be difficult for the BOJ to adopt what it has to do for an exit strategy whoever takes the post," said Takeshi Minami, chief economist at Norinchukin Research Institute, who saw no reason to replace Kuroda.
Speaking at a lower house fiscal and monetary policy committee meeting, Kuroda affirmed yield curve control as the main focus of monetary policy.
Speaking in the lower house fiscal and monetary policy committee, Kuroda said that the BOJ would adjust policy if needed, but that the central bank had recently upgraded Japan's economic outlook and the global economy was growing stronger.
"Infrastructure needs are huge and it's simply not possible for the Asian Development Bank and the World Bank to fill the gap completely," Kuroda, who was formerly head of the ADB, tolda seminar hosted by an ADB-affiliated think tank.
Kuroda also said that while Japan's economic prospects were brightening, inflation was lacking momentum and justified maintaining the BOJ's massive monetary stimulus for some time.
Kuroda, speaking in the upper house of parliament, also said he felt the BOJ would be able to manage its exit smoothly, including reducing the size of its balance sheet.
There is still a year left in Kuroda's current five-year stint, and the selection process won't begin in earnest until the latter half of this year, but some of Prime Minister Shinzo Abe's closest aides and senior financial officials say reappointment is a real possibility.
Kuroda also dismissed financial market concerns that the BOJ will eventually lose its ability to control long-term interest rates under its yield-curve-control framework.