The Bank also recognizes the risk that, by continuing such powerful monetary easing, financial institutions' strength will be cumulatively affected by low profitability, mainly through a decrease in their lending margins, and thus the functioning of financial intermediation will be stagnant.
Currently, as financial institutions have sufficient capital bases and their lending attitudes continue to be active, there is no serious problem with the functioning of financial intermediation. However, there is no change in the Bank's intention that it will thoroughly examine the risks considered most relevant to the conduct of monetary policy.