In our new framework, when in a business cycle expansion labor market indicators return to a range that, in the Committee’s judgment, is broadly consistent with its maximum-employment mandate, it will be data on inflation itself that policy will react to, but going forward, policy will not tighten solely because the unemployment rate has fallen below any particular econometric estimate of its long-run natural level.
Subsequently, in March, to support private firms’ efforts to strengthen the growth potential, the Bank decided to substantially enhance the fund-provisioning measure to support strengthening the foundations for economic growth, “the Growth-Supporting Funding Facility” in short, both in terms of the yen and a foreign currency (Chart 6).