Nikkei: Bank of Japan expands monetary stimulus to fight coronavirus impacts

The Bank of Japan expanded its monetary stimulus at a hastily called one-day policy meeting on Monday, joining other central banks rushing to support a global economy hit by the spreading coronavirus.

The BOJ will bolster its asset-buying program, expanding purchases of stocks, corporate bonds and corporate commercial paper, while also boosting its loan support program to help businesses deal with any liquidity issues.

The central bank will double its upper limit of annual purchases of exchange traded funds to 12 trillion yen ($112.46 billion) and of real-estate investment trusts to 180 billion yen per year.

It will also expand its upper limit of its corporate bond balance to 4.2 trillion yen and its commercial paper balance to 3.2 trillion yen, each up 1 trillion yen.

In addition, it will start a lending program for commercial banks, providing them with one-year loans in exchange for corporate collateral worth 8 trillion yen.

The full article is available at https://asia.nikkei.com/Economy/BOJ-expands-monetary-stimulus-to-defend-economy-from-coronavirus

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