BIS Review 1/2001  5  Looking at various risks surrounding the current economy, because the pace of recovery is still gradual, we need to pay due attention to the possibility of a downswing due to adverse external shocks or the rekindling of deflationary concerns.
While the risk factors which the Bank has been paying attention to were explained in detail in the "Outlook and Risk Assessment of the Economy and Prices," let me highlight two points which I am especially focusing on at the moment. The first is the development of the world economy in general, and the US economy in particular.