20 March 2002, 08:13  BoJ votes to maintain existing monetary policy, to expand eligible collateral

TOKYO (AFX-ASIA) - The Bank of Japan voted by majority to maintain its existing monetary policy guidelines at its policy board meeting. The bank said it decided to maintain its existing policy of allowing the balance of current-account reserves to go beyond the existing target of 10-15 trln yen to stabilise financial markets toward the end-March book closing. In a technical move, the BoJ added that it agreed to expand eligible collateral for its money market operations to include loans to the Deposit Insurance Corp and to the government's Special Account for Allotment of Local Allocation Tax and Local Transfer Tax. The loans will become eligible from March 26.

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