TOKYO: The Bank of Japan on Tuesday unveiled $138 billion in fresh monetary easing as it looks to boost the country's slowing economy, following similar moves by US and European central banks.
The BoJ said it would expand an asset-purchase programme -- its main policy tool -- by 11 trillion yen ($138 billion) to 91 trillion yen, while keeping rates unchanged at zero to 0.1 percent.
The central bank had been under increasing pressure from politicians calling for urgent action, as more data filters in to suggest that Japan's post-disaster recovery is stalling because of the global slowdown, while a strong yen has also weighed on demand for Japanese products abroad.
With ultra-low interest rates, the BoJ has been expanding its asset-buying programme to provide liquidity to markets when the bank purchases government and corporate bonds, and commercial paper.
"The Bank of Japan judged it appropriate to undertake further aggressive monetary easing policies in order to prevent Japan's economy from deviating from the path of returning to to a sustainable growth path with price stability," it said in a statement.
The bank's decision after its policy meeting comes as industrial production came in weaker than expected for September, while Japan recently posted its worst September trade figures in more than 30 years, as a territorial dispute with China hit exports.
Last month, the BoJ unveiled plans to expand the fund by 10 trillion yen.
Speculation about BoJ easing had knocked the value of the yen, with the dollar creeping above 80 yen last week -- a boon for exporters hit by the strong currency. (AFP)
