Second, the Bank has been making efforts to ensure financial market stability. Third, in order to meet the biggest challenge for Japan’s economy, which is the strengthening of the foundations for economic growth, the Bank has been providing funds to private financial institutions that make lending and investment consistent with the policy goal.
That is particularly true at times of great uncertainty, as existed last autumn. But our clear inflation target means that, in principle, our discretion is limited relative to that of fiscal policy.