The Bank of Japan on Tuesday boosted lending programs while sticking with a plan for unprecedented asset purchases, as the central bank tries to support a recovery and stamp out 15 years of deflation.
At its Policy Board meeting, the BOJ doubled a funding tool to ¥7 trillion and said individual banks could borrow twice as much low-interest money as previously under a second facility. The board left unchanged a pledge to expand the monetary base by ¥60 trillion to ¥70 trillion per year.
The yen fell and stocks surged as the moves underscored BOJ Gov. Haruhiko Kuroda's stated commitment to do whatever is necessary to drag the nation out of deflation.