We have decided to conduct money market operations so that the monetary base will increase at an annual pace of about 60–70 trillion yen. As a result, the amount outstanding of the monetary base is expected to almost double in two years, from 138 trillion yen at end2012 to 270 trillion yen at end-2014. This corresponds to the quantitative aspect of the QQE.
The third feature of the QQE is that the Bank has expanded its purchases of Japanese government bonds (JGBs) as a measure to increase the monetary base (Slide 4). Specifically, the Bank purchases JGBs through financial markets so that their amount outstanding will increase at an annual pace of about 50 trillion yen.