boj minutes, 2018-06-15
In response to this, a different member said that the view that low interest rates would impair the functioning of financial intermediation through a deterioration of financial institutions' profitability, and thereby undermine the effects of monetary easing, was subject to question mainly because the average loan-to-deposit ratio of domestic banks was 70 percent or less, while the core function of financial intermediation was taking deposits and lending funds.
Sentiment: neutral
Topic: financial_stability