The Bank of Japan started a two-day policy meeting Wednesday and is expected to extend its emergency policy measures to support corporate financing amid the global economic downturn and financial turmoil.
During the meeting through Thursday, the central bank is also likely to hold its key interest rate steady at 0.1 percent.
To fight the global crisis, the BOJ has introduced a series of special measures, including the outright purchase of commercial paper, or short-term debt issued by companies, from financial institutions.
The bank is considering conducting the CP purchase beyond its initial deadline of late March. Among other policies, the BOJ is also studying extending the deadline of an emergency loan program for banks and other institutions from the end of April, sources said.
The BOJ earlier said those policies are temporary methods designed to help companies raise capital to cover the approaching end of fiscal 2008 through next month.