As you all know, during the first half of this year, the world economy was mired in the adjustment process that followed the IT boom of the 1990s, which came to an end in the fall of 2000. Furthermore, uncertainty about the economic outlook was amplified by the war in Iraq and severe acute respiratory syndrome (SARS) in East Asia.
Uncertainty about the financial system problem in Japan persisted, and the fall in stock prices, including bank shares, became rather marked. Fortunately, these uncertainties have decreased since the early summer. The actual operation of the war in Iraq concluded relatively early, and the effects of SARS have been less than many people feared.