The three parties in the ruling coalition approved a proposal Tuesday to give the state-run Resolution and Collection Corp. more public funds to buy bad loans, Financial Services Minister Hakuo Yanagisawa said.
But Yanagisawa said the government has not altered its stance against government injections of public funds to reinforce banks' depleted capital accounts.
At a meeting that began Monday night and ended Tuesday morning, Taku Yamasaki, secretary general of the Liberal, Tetsuzo Fuyushiba, secretary general of New Komeito, and Takeshi Noda, leader of the New Conservative Party, endorsed the RCC plan.