Having said that, statistics for Japanese financial institutions as a whole indicate that there are large funding increases in that market (Chart 10). This reflects the increasing demand for hedging dollar exposures from financial institutions that have limited funding options compared with major banks.
The Bank will continue to carefully monitor the evolution of risks, together with economic and financial developments in the Canadian and global economies, and to set monetary policy consistent with achieving the inflation target over the medium term. Conclusion In conclusion, I want to stress that the problems of the past year posed challenges, and they offered lessons for individuals, businesses, and policy-makers.