In the money market, the interest rates applied for the Bank’s funds-supplying operations have declined to 0.1 percent, and there are even cases in which financial institutions’ bids fall short of the Bank’s offers. Market participants have become increasingly confident that they can acquire sufficient funds at a low interest rate.
Various types of interest rates have declined, including those for funds transactions between financial institutions, market rates on Japanese government securities, corporate bonds, and CP, as well as loans extended to firms and households.