As a result, investors’ risk aversion and preference for safe assets heightened in global financial markets, and the yen’s appreciating trend continued. The downturn in overseas economies was also reflected in developments in the world economic growth rate (Chart 1). Second, reflecting such severe conditions in overseas economies and global financial markets, business activities in Japan, particularly fixed investment, became cautious.
Of note is the completion of the drafting of the proposed SADC central bank model law, which will pave the way for the harmonisation of the legal and regulatory frameworks of SADC central banks. The Bank plays a leading role in the SADC payment system project.