Based on the discussion at the MPM, the Policy Board members concluded that it was not necessary at that time for the Bank to extend the maximum duration of loans provided through its funds-supplying operations against pooled collateral, because (1) the effect of compressing risk premiums driven by the Bank’s massive JGB purchases was likely to strengthen steadily, and (2) flexible conduct of market operations was sufficiently ensured under the current guideline for the operations to contain the volatility.
This is not meant to pressure you, but let me share some examples of private-led programs categorically designed to support NSFI: (1) International research institutions like Ideas42 and Innovations for Poverty Action (IPA) – respectively known for using behavioral sciences and randomized control trials in financial inclusion research and program design – are helping us find pioneering solutions to increase access and usage of financial services by financially excluded markets.