The Bank of Japan's plan to purchase shares held by banks as a means of stabilizing the financial system has neutral implications for the credit ratings of major Japanese banks, Fitch Ratings said Friday.
Fitch added that the central bank's plan has no immediate implications for Japan's sovereign ratings.
The initiative "appears to reflect a more realistic stance to the severity of the banking sector's problems and as such may be a welcome prod to the government to take more decisive measures to deal with the bad loans of the banks and other problems in the financial system," Fitch said.