I attributed tremendous importance to the fact that alongside the implementation of the reform being presented here today, we will soon complete the legislation for establishing a financial stability committee, which will firmly establish the cooperation and coordination among the various financial system regulators. The committee will monitor, provide early identification, and handle risks to the financial system before they are realized.
However, constraint that had been caused by severe fund-raising conditions and insufficient capital base has eased considerably. Under these circumstances, major banks have gradually become more active than before in extending loans, while carefully evaluating the credit risks involved. However, credit demand for economic activities such as business fixed investment remains weak. In addition, firms’ moves to increase their on-hand liquidity have settled down.