kazuo ueda : the bank's semiannual report on currency and monetary control statement by mr kazuo ueda, governor of the bank of japan, before the committee on financial affairs, house of councillors, tokyo, 7 december 2023. * * * introduction the bank of japan submits to the diet its semiannual report on currency and monetary control every june and december. i am pleased to have this opportunity today to talk about recent economic and financial developments and about the bank's conduct of monetary policy. i. economic and financial developments i will first explain recent economic and financial developments. japan's economy has recovered moderately. exports and industrial production have been more or less flat, supported by a waning of the effects of supply - side constraints. corporate profits have been at high levels on the whole, and business sentiment has improved moderately. in this situation, business fixed investment has increased moderately. the employment and income situation has improved moderately. private consumption has increased steadily at a moderate pace, despite being affected by price rises. with regard to the outlook, japan's economy is likely to continue recovering moderately, supported by the materialization of pent - up demand, as well as by factors such as accommodative financial conditions and the government's economic measures, although it is expected to be under downward pressure stemming from a slowdown in the pace of recovery in overseas economies. the year - on - year rate of increase in the consumer price index ( cpi ) for all items excluding fresh food is slower than a while ago, mainly due to the effects of pushing down energy prices from the government's economic measures, but it has been at around 3 percent recently owing to the effects of a pass - through to consumer prices of cost increases led by the past rise in import prices. regarding the outlook, it is likely to be above 2 percent through fiscal 2024 and then decelerate in fiscal 2025. meanwhile, through fiscal 2025, the bank expects that underlying cpi inflation will increase gradually toward achieving the price stability target of 2 percent. concerning risks to the outlook, there are extremely high uncertainties surrounding japan's economic activity and prices, including developments in overseas economic activity and prices, developments in commodity prices, and domestic firms'wage - and price - setting behavior. under these circumstances, it is necessary to pay due attention to developments in financial and foreign exchange markets and their impact on japan's economic activity and prices. meanwhile,

for release on delivery 11 : 00 a. m. est november 6, 2023 financial stability : resilience and challenges remarks by lisa d. cook member board of governors of the federal reserve system at duke university durham, north carolina november 6, 2023 i am delighted to be back at duke university after spending many summers of my childhood here with my family visiting my uncle and his family. as you might know, my uncle samuel dubois cook was a political theorist and the first african american professor tenured at duke and at a major southern university. my family and i have many fond memories on this campus. i am also happy to be with you in the economics department today to discuss financial stability. 1 my own work as an academic has frequently reinforced the importance of financial stability in the united states and abroad. early in my career, i examined the impact of underdevelopment in the russian banking system on growth in post - soviet russia and the instability that can occur in a poorly regulated financial system. years later, as an economist on the council of economic advisers, i saw how weaknesses in the financial system contributed to instability in the euro area. these formative experiences shaped my view that the federal reserve ’ s work on financial stability is critical to the well - being of households, businesses, and the broader economy. this is one reason i particularly value the opportunity to serve on the board ’ s committee on financial stability. i will focus my remarks on my assessment of financial stability risks, based on the federal reserve ’ s framework for monitoring vulnerabilities in the financial system. in my view, our financial system is substantially more resilient than it was in the mid - 2000s, reflecting progress by regulators and the private sector in boosting resilience. that said, we cannot be complacent, and i see some important risks. the views expressed here are my own and not necessarily those of my colleagues on the federal open market committee. - 2achieving the federal reserve ’ s dual mandate of maximum employment and stable prices depends on a stable financial system. 2 we all saw how the global financial crisis triggered the great recession and brought misery to countless millions who lost their jobs, homes, or investments. a stable financial system provides households, communities, and businesses with the financing they need to invest, grow, and participate in a well - functioning economy — even when hit by adverse events or “ shocks. ” consistent with this view of financial stability, our framework for how we