2021 kuroda haruhiko governor of the bank of japan introduction i. developments in economic activity and prices and the bank's policy responses to the impact of covid - 19 ii. continuation of quantitative and qualitative monetary easing ( qqe ) with yield curve control iii. policy actions to conduct further effective and sustainable monetary easing conclusion i. developments in economic activity and prices and the bank's policy responses to the impact of covid - 19 chart 1 recent developments in economic activity and prices pace of economic recovery economic activity by sector ( real gdp, level ) s. a., cy 2019 average = 100 s. a., cy 2019 = 100 consumer price index ( cpi ) y / y % chg. effects of the " go to travel " campaign - 5. 2 % - 10. 0 % - 2. 6 % effects of the consumption tax hikes and free education policies energy excluding the effects of the above temporary factors cpi ( less fresh food ) manufacturing accommodations, eating and drinking services 20 / q1 services for amusement and hobbies - 1 t ransport nonmanufacturing q2 q3 q4 jan. jul. july jan. jul. july jan. - 2 cy 14 15 16 17 18 19 20 21 notes : 1. in the middle chart, figures for manufacturing are the " indices of industrial production " and those for other sectors are the " indices of tertiary industry activity. " figures for nonmanufacturing exclude accommodations, eating and drinking services, services for amusement and hobbies, and transport. 2. in the right - hand chart, energy consists of petroleum products, electricity, and gas, manufactured & piped. figures for " effects of the consumption tax hikes and free education policies " from april 2020 onward are based on staff estimations and include the effects of measures such as free higher education introduced in april 2020. sources : cabinet office ; ministry of economy, trade and industry ; ministry of internal affairs and communications ; bank of japan. i. developments in economic activity and prices and the bank's policy responses to the impact of covid - 19 chart 2 the bank's measures in response to covid - 19 supporting corporate financing special program to support financing in response to covid - 19 purchases of cp and corporate bonds : amount outstanding of about 20 tril. yen at maximum ( previous amount outstanding of about 5 tril. yen ) special funds - supplying operations to facilitate financing in response to covid -

october 6, 2021 bank of japan hopes for the japanese and u. s. business communities : economic recovery from the covid - 19 crisis and efforts to address climate change speech at the 58th japan - u. s. business conference ( via webcast ) kuroda haruhiko governor of the bank of japan introduction it is an honor to have the opportunity today to address the representatives of the business communities at the japan - u. s. business conference, which started 60 years ago. for the first time in about 20 years, japan is renewing its banknotes. the person chosen for the portrait on the new 10, 000 - yen note is shibusawa eiichi, an entrepreneur known as the " father of modern japanese capitalism. " shibusawa was passionate about private exchanges between japan and the u. s. and in 1909 led a group of about 50 entrepreneurs on a visit to the u. s. they met with then president william taft, thomas edison - - the " king of inventors " - - and other prominent figures in various fields, and realized that the u. s. economy enjoyed remarkably high growth. 1 shibusawa's business mission to the u. s. was the starting point for a series of exchanges between the business communities of the two countries ; such exchanges continue to this day, including through this business conference, and have contributed considerably to the development of both economies. it is encouraging to see you all continuing to have a dialog even during the covid - 19 pandemic. today, i would first like to share my views on the characteristics of the u. s. and japanese economies, which come to light when comparing responses of the two to the same shock - the pandemic. i will then talk about my hopes for the japanese and u. s. business communities in addressing climate change, which is one of the important common challenges for the coming decades, while outlining the bank's recent policy actions to address this issue. i. the u. s. and japanese economies since the outbreak of covid - 19 the u. s. and japanese economies both have faced the shock of the pandemic, which is larger than anything experienced in the postwar era ( chart 1 ). economic activities of both countries declined sharply across the board in the first half of 2020, and real gdp for the april - june quarter contracted significantly by almost 10 percent from the pre - pandemic level in 2019. however,