As you know, the debate on monetary policy has never been so lively as that seen in recent months. In addition, the Bank of Japan introduced additional steps at this week’s Monetary Policy Meeting to provide monetary accommodation in a decisive manner – namely, the “price stability target” and the “open-ended asset purchasing method”.
The Reserve Bank’s objectives are enshrined in the Constitution and in the laws of the land. The two elements of financial stability - price stability and the stability of the financial sector - are closely related. If we fail in one area, this will result in uncertainty in the other.