The Bank has supported financing, mainly of firms, and maintained stability in financial markets through measures such as (1) the Special Program to Support Financing in Response to COVID-19 and (2) flexible provision of ample funds, mainly by purchasing Japanese government bonds (JGBs) and conducting the U.S. dollar funds-supplying operations.
These measures, coupled with the government's measures and financial institutions' proactive efforts, have had positive effects. As a result, financial conditions in Japan have been improving on the whole, with precautionary demand for liquidity subsiding, particularly among large firms.