As I have described, there is considerable uncertainty, especially about developments in overseas economies and global financial markets and also high prices of energy and materials, and attention should be paid particularly to the downside risks to Japan's economy. However, it should be borne in mind that everyone, including policymakers, tends to be strongly affected by the current situation when forecasting the future.
We should, considering the matter calmly, be aware that the significance of the upside risks will increase if the dense fog surrounding the outlook for the global and Japanese economies gradually clears. It seems that, for the time being, downside risks, rather than upside ones, are likely to be incorporated into the decision-making of households and firms.