Forex Blog

January 25, 2010

BOJ Said to Be Open to Expanding Loans, Bond Buying

Bank of Japan policy makers are prepared to consider expanding an emergency-loan program for banks and increasing purchases of government debt should the recovery falter, people with knowledge of the matter said.

Central Bank of Japan BOJ

Bank of Japan

The central bank’s board will leave interest rates and its lending program unchanged tomorrow, 16 of 17 economists said in a Bloomberg News survey. How it responds in coming months will depend on the extent of any further economic shocks — such as a surge in the yen to November’s 14-year high — the people said on condition of anonymity because the talks are private.

source: Bloomberg

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