- Doubling the target for net purchases of exchange-traded funds to JPY 12 trillion ($112 billion)
- Agreeing to coordinated foreign swap lines, to lower the cost of borrowing dollars internationally, with the US Federal Reserve
- Establishing a new one-year facility that would offer loans against corporate debt as collateral at a 0% interest rate
- Increasing the upper limit for its purchases of commercial paper and corporate bonds by ¥2tn.
Key business support measures:
Loan for large companies
- Ministry of Finance (MOF) decided to use loan for crisis response. Low interest rate loan provided by Development Bank of Japan(DBJ) . Under this scheme, there are no upper limit of loan and Japanese media reported to use by large companies (e.g. Airline companies, Automotive manufactures etc.). As of End of June, total lending outstanding was \1,618.2 billion(104 cases)
Loan, loan guarantee and cash benefit for SMEs
- Ministry of Finance (MOF) decided to use safety net loan(loan limit:JPY720million) and loan for crisis response(loan limit: JPY300million) to support SMEs. Low interest rate loan provided by government financial institutions (JFC, Shoko Chukin Bank etc.).
- Ministry of Finance (MOF) established special loan program for novel coronavirus. Low interest rate loan provided by Japan Finance Corporation (JFC) and Okinawa development finance corporation. Loan limit is JPY300milion.
- Ministry of Economy, Trade and Industry (METI) decided to use safety net guarantee program (guarantee limit: JPY280 million) and crisis related guarantee (guarantee limit:JPY280 million) to support SMEs.
- The government established private financial institution’s no-interest unsecured loan provided by utilizing prefectural directed credit programs. The loan limit is JPY30million.
- Ministry of Economy, Trade and Industry (METI) established subsidy program for sustaining businesses. This program targets companies facing severe conditions in particular and provides them with subsidies for a wide variety of purposes that in general are considered effective in supporting them in sustaining or reviving their businesses. Eligible companies can obtain JPY 2 million (Maximum)