trend change in prices. as a measure to prompt an improvement in the aggregate supply and demand balance, in terms of interest rates, the bank has kept the policy rate at the effectively zero level. to encourage a further decline in longer - term interest rates in the money market, the bank introduced in december 2009 a new funds - supplying operation, through which funds with a maturity of three months are provided at an extremely low interest rate of 0. 1 percent, and the total amount of loans to be provided through this operation was set at approximately 10 trillion yen. the total amount of loans was increased to 20 trillion yen in march 2010. in terms of funds provision, the bank has been providing ample funds through various fundssupplying operations, including the new operation. furthermore, the bank has made its stance clear that it will consistently maintain the extremely accommodative financial environment. as for inflation expectations, the other determinant of prices, the bank has, to prevent people ’ s expectations for prices from declining, clearly showed its stance, in the form of the “ understanding of medium - to long - term price stability ”, that it is critical to achieve a positive year - on - year rate of changes in the cpi. to overcome deflation and achieve a sustainable economic growth with price stability, the bank will continue to consistently make contributions as central bank.

##ity provisioning and u. s. dollar swap line arrangements. these measures have worked as a bulwark against a global negative feedback loop. unlike the gfc, the spread of covid - 19 has been a shock to the real economy. nevertheless, a risk common to both the gfc and the covid - 19 crisis was that the erosion of market confidence would trigger a negative feedback loop. however, liquidity provisioning this time was conducted decisively. many central banks enhanced swap line arrangements and conducted u. s. dollar funds provisions and asset purchases, while the imf promptly reinforced its emergency financial assistance. i believe that these actions were driven by common concern over risks, built upon the experience of the gfc. the second key element of the covid - 19 policy responses is the coordination of fiscal and monetary policies, implemented to stabilize the economy and the financial system. this was seen at the time of the gfc, but the coordination this time has been more prompt and comprehensive. amid the rapid decline in income due to the impact of covid - 19, governments have implemented large - scale economic measures, including income support and loan guarantees to firms and households, while central banks have introduced powerful monetary easing measures aimed at supporting corporate financing and stabilizing financial markets. regarding corporate financing support in particular, fiscal measures provided credit enhancement through government guarantee programs, while monetary policy provided liquidity. as fiscal and monetary policy measures fulfill their respective roles, business operations and employment have been underpinned through the smooth functioning of financial intermediation. the third important element centers on regulation and supervision. namely, while financial institutions had already been increasing their robustness in line with international financial regulations, financial authorities swiftly implemented the necessary measures. the strengthening of international financial regulations in the wake of the gfc has led to financial institutions building up ample capital and liquidity. this worked as intended, providing a backstop against the negative feedback loop, as the financial sector absorbed the shock to the real economy rather than exacerbating it. moreover, i believe the deferral of the full implementation of the basel iii standards by one year and encouragement for banks to use their capital and liquidity buffers, among other measures, have contributed to securing the smooth functioning of financial intermediation. ii. what will be required of future policy responses next, i would like to consider what will be required of future policy responses. there continues to be considerable uncertainty reflecting the resurgence of the spread of co