The Bank of Japan was founded in 1882 on the basis of the Bank of Japan Act 1882 and given a monopoly on controlling the money supply. As per the law, the bank is a juridical person. The Bank of Japan has since continued its operations unhindered, except for a temporary break in its services after the World War II.
The Bank of Japan has been established with the following mission:
As per the Bank of Japan Act, the bank's objective is "to issue banknotes and to carry out currency and monetary control" and "to ensure smooth settlement of funds among banks and other financial institutions, thereby contributing to the maintenance of an orderly financial system."