19 February 2002, 09:06  Takenaka sees no need to change rules to force fund-injection into banks

TOKYO (AFX-ASIA) - State Minister for Economic and Fiscal Policy Heizo Takenaka said he does not think it is necessary to change regulations, allowing the injection of capital into the banks by force. "I think we can cope with the current situation by using the existing framework. I don't take the view that it is necessary to inject capital into banks by force," he said. He added that a capital injection is one of the policy choices available following the special inspections of banks by the Financial Services Agency. "It is the FSA that will decide what kind of action is taken after the special injections. I respect the decisions and views of the agency," he said. "We share a common view on the issue of the necessity of strict inspections," Takenaka said, adding that he expects the interim results of the probe to be release before the end of March. "I expect that there will be some interim information released in March," he said, adding that the results should be detailed enough to satisfy the market.

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