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Japan's regional financial institutions must strengthen the foundations for businesses to help smooth the intermediation role, BOJ Governor Haruhiko Kuroda said Thursday. "Looking ahead, the economy continues recovering, and the focus of support from financial institutions will shift from financial aid to supporting main businesses," Kuroda said at the National Shinkin Bank Association meeting.

Kuroda also said Japan's financial system remains stable on the whole, although economic and financial conditions continue to be pressured by the impacts from Covid-19.

As for monetary policy, Kuroda said the central bank will "continue to steadily support corporate financing and maintain patiently easy policy to achieve the price stability target."