Latest news with #bondtransactions
CNA
3 days ago
- Business
- CNA
BOJ sets aside maximum provision of losses for bond transactions
The Bank of Japan has set aside the maximum provision for losses on bond transactions, a spokesperson for the central bank said on Monday. The level of the provision for possible losses on bond transactions was 100 per cent for fiscal 2024, the spokesperson said in an emailed response to Reuters. The moves come as the Japanese central bank faces mounting pressure to keep hiking borrowing costs, after it kept short-term interest rates steady in its May meeting. The BOJ has usually kept a target of provision for losses on bond transactions around 50 per cent of gains or losses from the transactions. The Nikkei first reported BOJ setting aside maximum provision for losses on bond transactions earlier on Monday.
CNA
4 days ago
- Business
- CNA
BOJ sets aside maximum provisions for bond transactions, Nikkei reports
The Bank of Japan has set aside the maximum provision for losses on bond transactions, the Nikkei reported on Monday. For fiscal 2024, BOJ raised the level of provisions to 100 per cent for the first time, signaling that the central bank expects higher interest payments to financial institutions to impact its capital base, the newspaper reported. Japan's central bank kept short-term interest rates steady at 0.5 per cent in its May meeting, with pressures mounting to keep hiking borrowing costs.
