In fiscal 2014, it appears likely that the CPI will move steadily closer toward the Bank’s “price stability goal in the medium to long term” of 1 percent for the time being. Whether developments in Japan’s economy will follow the projected path, however, hinges on those developments in overseas economies.
So the lack of liquidity in the underlying market for 1-month bills appears to be affecting the benchmark. Graph 16  Given these issues, users of 1-month BBSW should be preparing to use alternative benchmarks. [14] This is particularly relevant to the securitisation and derivatives markets, which frequently reference the 1-month rate.