The Bank of Japan said Monday it will redeploy a dollar-swap arrangement with the U.S. Federal Reserve as major central banks launch fresh coordinated action to ease strains in the global financial market resulting from the sovereign debt crisis in Greece.
The Group of Seven advanced economies hailed in a joint statement the emergency measures agreed to by the European Union to restore stability in the euro zone, underscoring "the need for exceptional action" to prevent shock waves from Greece spreading to the wider economy.
"We handled the financial turmoil in a solid manner," Finance Minister Naoto Kan told reporters after the G7 issued the statement. With the promptly arranged rescue measures, he said, "stock and currency markets are likely to restore their stability."