As seen in Slide 5, the Bank of Japan estimates that potential growth remains around or slightly below 1/2 percent. It is well known that real-time estimates of the potential growth rate are fraught with great uncertainty and it is often only after a considerable time lag that we can recognize changes in potential growth.
I believe that fostering a competitive environment is critically important for all portions of the retail payments system, including those in which the Federal Reserve is a participant. Indeed, the effectiveness of the U.S. retail payments systems can be credited largely to the competitive marketplace in which payments are provided.