TOKYO (AFX-ASIA) - Liberal Democratic Party policy chief Taro Aso said members of the ruling coalition decided to put on hold discussion of any new stockmarket boosting measures until after the Upper House election at end-July.
"The government should not comment on the stockmarket moves but the three parties will need to consider measures to increase the level of direct financing through the issuance of stocks and corporate bonds," he said.
Aso was speaking after representatives from the three coalition parties met to discuss the need for further measures to boost financial markets, which have continued to slump despite previously announced government initiatives.
"We agreed for the moment we should not announce any concrete measures," he said. "However, we will meet again in early August, after the Upper House election, to discuss action."
Fumio Kyuma, the ruling Liberal Democratic Party's acting policy chief, said the members of the coalition New Komeito argued at the meeting of the need for further talks on providing additional market incentives as soon as possible.
"But, finally, we reached agreement that during the elections we should refrain from deciding anything to head off the stock price declines," Kyuma told reporters after the meeting. He said participants did not suggest the need for a supplementary budget.