For instance, comparison of the real GDP growth rate with the real short-term interest rate – although the latter varies depending on how the expected inflation rate is estimated – shows that while the GDP growth rate has been around 2 percent, the real short-term interest rate has been in the range of around 0-0.5 percent if the actual year-on-year change in the CPI is used as the expected inflation rate.
The lending attitudes of financial institutions have been positive reflecting expansion of risk-taking capacity as a result of improvement in their financial condition, and in this  2  BIS Review 46/2007  situation, the amount outstanding of lending by private banks has been increasing. In sum, the financial environment continues to be accommodative, both in terms of interest rates and availability of funds.