The Bank of Japan announced Wednesday it will provide ¥150 billion in emergency funds next Monday in its first outright purchase of corporate bonds from financial institutions.
However, Miyako Suda, a member of the BOJ Policy Board, reiterated her opposition to the move Wednesday, arguing it is too early for the central bank to implement a policy that she said could damage its financial health.
The BOJ's latest money market operation aims to facilitate corporate finance as many firms face difficulty raising operating capital in financial markets amid the global credit crunch.