Expectations of stronger monetary easing since the end of 2012 have already favorably affected some markets, including the exchange rate, stock, and J-REIT markets. Firms and households have a more positive outlook for the economy.
In this favorable environment, I believe that it may be possible to accelerate the pace of rise in medium- to long-term inflation expectations in a stable manner by adopting a bold monetary policy. At the same time, I honestly feel that the Bank should maximize its monetary easing measures to demonstrate its strong determination to conquer deflation.