TOKYO (Reuters) – The Bank of Japan on Monday ramped up risky asset purchases and pledged to buy unlimited amounts of government bonds to combat the economic fallout from the coronavirus epidemic.
At the rate review, the central bank pledged to accelerate purchases of corporate bonds and commercial paper until the combined balance of its holdings reaches 20 trillion yen ($186 billion).
It also pledged to aggressively buy government bonds to keep the yield curve low in a stable manner.
In a widely expected move, the BOJ maintained its short-term interest rate target at -0.1% and a pledge to guide 10-year government bond yields around 0%.
BOJ Governor Haruhiko Kuroda will hold a news conference to explain the policy decision at 3:30 p.m. (0630 GMT).
(Reporting by Leika Kihara, Tetsushi Kajimoto, Daniel Leussink and Kaori Kaneko; Editing by Chang-Ran Kim)
