Policy money means the finance enforced with the purpose of specification with the government which can be said to be support of a governmental preference fund. It will be said that policy money is the finance enforced in order that the government may develop environment of a financial market under the environment which is not perfect. What is called the market failure is eased and economic efficiency and fairness are improved. However, since the government leads artificial resource distribution by the interference to governmental finance, policy money has a problem which can restrain economic efficiency. We have to carry out within limits which set to enforce policy money and do not restrain the efficiency of private economy, Moreover. which must be realized within limits with which the imperfect nature of a financial market is compensated. Then, it is necessary to increase the efficiency of policy money as this.
Reform of Japanese policy money these days is referred to greatly to improve the policy money of our country from now on. Which is going to carry out presentation of the method proposal of an improvement of the policy money of our country to 4 points greatly, First, it is made to carry out policy money in the suitable range. As for policy money, it is desirable to reduce the scale of the operating funds as much as possible.
Second, the long-term financial policy is required for reducing the policy money As for policy money, if possible, managing by the system which expects system efficiency is more desirable than a direct financial support system. And it is more desirable than the system based on public sectors to adopt the system for market functional activation.
Third, the policy money needs to be concentrated. Probably, it will be desirable to localize to industry certainly required of a social politics dimension or a national economy dimension, and to offer policy money.
Forth, As for the policy money, it is desirable to make it the special bank which is not a general commercial bank take charge.