Accordingly, each jurisdiction needs to take measures to deal with the discontinuation of LIBOR in those transactions. In this regard, in Japan, the Cross-Industry Committee on Japanese Yen Interest Rate Benchmarks consisting of financial institutions, institutional investors, and non-financial corporates was established in August 2018, with the Bank of Japan acting as the secretariat, and it has been conducting deliberations.
Last summer, as a key milestone in the committee′s work, a public consultation was held on the appropriate choice of alternative benchmarks to JPY LIBOR. During that consultation, many comments were provided on the issues presented by the committee from a wide range of relevant parties, including non-financial corporates.