The Japanese economy has been steadily recovering in recent years. However, as Japan fully enters into the era of a declining birthrate and an aging society, establishing a financial capital market in which personal financial assets are effectively utilized is an urgent issue indispensable for the prosperity of the Japanese economy in the future. We are fully aware that the expectations society has for TSE and the needs they require of it are growing.
It is under these circumstances that a series of system problems have occurred in the TSE market - which provides the backbone of the financial capital market infrastructure - such as system failures and insufficient system capacity. TSE recognizes that this is a grave situation which could shake the confidence of investors at home and abroad in the financial capital markets of our country.
Thus, TSE will first and foremost strive to recover and enhance confidence in the market infrastructure through efforts such as taking thorough preventive measures to avoid a recurrence of system failures, and implementing actions to increase system capacity. For this purpose, TSE will establish the concept for the next-generation system in order to accommodate growing liquidity and start the development of the system.
With public expectations for TSE's self-regulatory operations rapidly increasing, TSE will strengthen self-regulatory operations and develop its internal structure to meet these expectations adequately, such as by enhancing corporate governance of listed companies.
Through these efforts, TSE will endeavor to enhance its competitiveness amidst intensifying global market competition in the future.
We sincerely ask for your kind support and cooperation.
Taizo Nishimuro
Chairman & CEO
Tokyo Stock Exchange, Inc.
