Apart from the existence of unresolved problems in the real sector, this condition should not be used as an excuse for banks to stagnate and cease trying to stimulate activity in the sector.
However, those on instruments maturing beyond the year-end are relatively high partly due to market participants’ concern over the Year 2000 problem. The Japan premium has continued to be nearly zero. Yields on long-term government bonds fell to the level of 1.6 percent in the middle of July, but have slightly increased to 1.8-1.9 percent.