24 October 2001, 08:31 Gov't may inject funds into troubled banks if needed: Koizumi
TOKYO, Oct. 24 (Kyodo) - Prime Minister Junichiro Koizumi said
Wednesday it is possible the government may inject public funds
into troubled banks if there is a risk of financial crisis.
"It may be possible to inject public funds to avoid any
unnecessary disorder in the financial system," Koizumi told a
House of Councillors panel.
"There's no such need at the moment, but if a problem arises
that could trigger a global financial crisis, we will respond in a
bold and flexible manner," he said.
The government injected massive amounts of public funds into
major Japanese banks in March 1999 to bolster their weak capital
bases in the wake of a serious domestic financial crisis.
© 1999-2024 Forex EuroClub
All rights reserved