Therefore, in the conduct of monetary policy, it is necessary to get into the habit of assessing the economy both through the lens of price developments and through the lens of financial  BIS Review 168/2009  5  imbalances. This is exactly what the Bank of Japan with its assessment of monetary policy from “two perspectives” aims at.
I am convinced that the series of powerful monetary easing measures has made a substantial contribution to the current 60-month-long recovery phase that I talked about. On the price front, the annual CPI inflation excluding fresh food and energy has been positive as a trend for about four years since October 2013 (Chart 9).