Average annual HICP inflation is projected to lie between 2.1% and 2.3% in 2004. As the impact of recent oil price increases and the effects of previous indirect tax and administered price rises gradually dissipate, annual HICP inflation is projected to be between 1.5% and 2.5% in 2005 and 1.0% and 2.2% in 2006.
Today, I would like to talk about the Bank of Japan's view on economic and financial developments at home and abroad, and about its thinking on the monetary policy conduct since March in response to the impact of the novel coronavirus (COVID-19). I have to say that there are still extremely high uncertainties over future developments regarding COVID-19 and their impact on economic activity.