The new policy aimed at working directly on inflation expectations, with the goal of increasing inflation to the global standard of 2 percent. The question is: how?
The conclusion we reached was, first, to show our clear commitment to achieving the 2 percent price stability target in a stable manner as soon as possible, and, second, to underpin this determination by launching massive monetary easing that clearly differed from the past policies. Specifically, we declared that there would be a doubling in two years of the monetary base the BoJ provides.