BIS Review 63/2000  8  Chart 1 Interest rates (1) Short-Term  %  6  Monthly  Daily  Call rates(overnight, uncollateralized) Euro-yen futures(3-month) CD rates(3-month)  5  4  3  2  1 Official discount rate  0 CY  92  93  94  95  96  97  98  99  00 11 12 1 CY99  2  3  4  5  6  7 00  8  August 3 Euro-yen futures 0.360% CD rates 0.11% Call rates 0.02%  (2) Long-Term 6.0  %  Daily  Monthly  5.5 5.0 4.5 4.0 3.5 3.0 2.5 2.0  August 3 1.675%  Government bond yield (10-year)  1.5 1.0 0.5 CY  92  93  94  95  96  97  98  99  00  11 12 1  2  3  4  5  CY99  6  7  8  00  Sources: Bank of Japan; Tokyo International Financial Futures Exchange; Japan Bond Trading Co., Ltd. 9  BIS Review 63/2000  Chart 2 Economic developments  Around Feb. 1999  • Real GDP  -0.4%  (changes from a year earlier)  Recent →  (1999/Q1)  • Domestic Private Demand  -2.0%  (changes from a year earlier)  (2000/Q1)  →  (1999/Q1)  • Industrial Production  -3.8%  (changes from a year earlier)  -44  (DI; “favorable”-“unfavorable”)  →  -2.1%  (changes from a year earlier)  (1999/Q1)  • Consumer Price Index  -0.1%  (excluding perishables, changes from a year earlier)  +7.0% (2000/Q2)  →  (1999/Mar.)
• Domestic Wholesale Price Index  +2.1% (2000/Q1)  (1999/Q1)  • Business Conditions (Tankan)  +0.7%  -18 (2000/Jun.) →  +0.3% (2000/Q2)  →  (1999/Q1)  -0.3% (2000/Q2)  <Ref.1> Forecasted Real GDP Growth Rate for FY 2000 December, 1999 +1.0% (average of 39 institutions)  → June, 2000 → +1.6% (average of 25 institutions)  <Ref.