However, this framework was somewhat complicated and entailed a problem that the Bank’s serious efforts to combat deflation by monetary easing were rather difficult for the market and the public to understand. Based on such recognition, the Bank has terminated the Asset Purchase Program and synthesized purchasing methods of JGBs.
Moreover, it has decided to express the target of JGB purchases as a net increase in its JGB holdings – namely, at an annual pace of about 50 trillion yen. We believe that these changes will facilitate understanding of the Bank’s intention with regard to monetary easing in a straightforward manner.