holdings remained flat. changes in the liabilities of banks were equally diverse across the three banking organization size groups. figure 12 has the same format as figure 11, with each red bar indicating a decline in a liability type and each blue bar indicating an increase in a liability type. as with figure 11, the data are merger - adjusted and seasonally adjusted. the figure presents changes in core deposits ; large time deposits, which are deposits in denominations greater than $ 100, 000 ; other managed liabilities ; and other liabilities. other managed liabilities mostly consist of foreign - booked deposits, demand notes issued to the treasury, other borrowed money, and federal funds purchased and securities sold under repurchase agreements. other liabilities are noninterest earning liabilities such as trading liabilities. numbers at the top and bottom of each bar within a panel represent the sum of liability changes as one looks from left to right. as with lending growth, the growth in core deposits at u. s. banking organizations was likely influenced by both demand - side and supply - side considerations as well as by government policies implemented to improve financial conditions. core deposits, which consist of the sum of transaction deposits, savings deposits ( including money market deposit accounts ), and small time deposits issued in denominations of less than $ 100, 000, expanded at banking organizations of all sizes in the fourth quarter. in part, this deposit growth reflected lower opportunity costs of holding monetary assets as declines in market rates outpaced those on core deposits. in addition, this growth was likely influenced by the increases in deposit insurance coverage that were announced in october 2008. 15 deposit growth also likely reflected bank - led initiatives to increase their deposit funding in order to reduce their reliance on managed liabilities, such as large time deposits and borrowings from the federal home loan banks, and also to fund future lending opportunities. this substitution of deposits for managed liabilities was particularly pronounced at the 25 largest banking organizations : these banking organizations reduced the category of " other managed liabilities " by about $ 120 billion. in contrast, banking organizations not included among the largest 25 increased their other managed liabilities by $ 30 billion ( although managed liabilities are, in general, a smaller fraction of these banks'overall liabilities ). conclusion today, we have taken a three - dimensional view of the flow of credit to households and businesses and described the evolving role of banks in the u. s. economy. the the talf will help market participants meet the credit needs

hikes by the us federal reserve and the uk ‘ s brexit from the eu could cause international financial market unrest, and a delay in the world economic recovery. domestically, it is hard to rule out the possibility of the lingering political uncertainties having adverse effects not only on the consumption and investment sentiments of economic agents, but on the views of foreign investors concerning our economy as well. - 2 - at a time like this, keeping the foreign exchange market and the real economy stable is of primary importance. given the korean economy ’ s robust external soundness and financial resilience as well as its adequate policy space, it should be able to withstand shocks of some extent. we cannot just sit back complacently, however. if multiple external risks should materialize all at once, or in concert with a deterioration in domestic conditions, the repercussions can be greater than expected. we should therefore devote every effort to comprehensive risk management, so that we can deal in a timely manner with any such situation that may arise. we also need to push consistently ahead with reforms to counteract structural problems such as our low birth rate and population aging, the accumulation of household debt, labor market segmentation, and income inequality. if we leave our economy ’ s structural vulnerabilities unresolved, citing the unfavorable conditions currently before us, then the recovery of our growth potential will become even more difficult to attain. dear members of the bank of korea, i would like to touch now on the major tasks that we will need to focus on this year. we will conduct our monetary policy so as to ensure that the recovery of economic growth continues, and that consumer price inflation approaches the target level over a medium - term horizon. although the pace of inflation will gradually pick up, owing to the rising oil prices, it is forecast that the upward pressures from the demand side will not be great since economic growth is expected to - 3 - be only modest. going forward, maintenance of our current accommodative monetary policy stance for a considerable time will thus be appropriate. we also need to operate the bank intermediated lending support facility economic in the direction of improving growth. the financial support for its support smes for suffering temporary financing problems, and for those that contribute to increasing employment, needs to be expanded. given the considerably changed financial and economic conditions, we will also have to examine the need for reforming our lending facilities over a medium - to long - term horizon.