At the time of the introduction of QQE many did not expect the inflation rate to increase to the level we see now. However, the Bank’s projections have changed little since the April 2013 Outlook Report, published shortly after the introduction of QQE. QQE has been having its intended effects and prices have been rising as the Bank expected.
The mechanism to raise inflation that we envisaged at the time of the introduction of QQE consists of the following elements.