For example, while the target level of the long-term yields was maintained at around zero percent, the Bank made it clear that the actual yields might move upward and downward to some extent mainly depending on developments in economic activity and prices.
With the Bank's large-scale JGB purchases continuing, their side effects, such as rigid JGB yields and a decline in transactions, have been pointed out in the market. As interest rate formation becomes more flexible and the degree of market functioning improves reflecting the latest policy response, this consequently will lead to enhancing the sustainability of the current policy.