Going forward, these effects are likely to steadily spread to both the real economy and the price front. However, uncertainty over emerging economies has been strong and volatile developments in financial markets, including the stock market and yen exchange rates, have continued to be seen.
Today, I would like to first explain the Bank’s view on Japan’s economic activity and prices under this situation and then elaborate on how it is going to implement the new policy framework of “QQE with a Negative Interest Rate.” I.