BoJ supplies $ 3.4 trillion in dollars Cooperation with central banks of each country March 17 at 13:38
To reduce financial market turmoil caused by the spread of the new coronavirus, the Bank of Japan on Tuesday provided $ 32 billion to Japanese financial institutions and 3.4 trillion yen in Japanese yen in cooperation with central banks in various countries. $ 100 million in dollar funding.
The Bank of Japan announced on Wednesday that it will work with the world's leading central banks, including the US Federal Reserve and the European Central Bank, to increase the supply of dollar funds to the market to reduce turmoil in financial markets .
Based on this, the Bank of Japan started lending dollars to financial institutions at a lower interest rate by auction method on the 17th.
Of these, $ 2 billion in one-week lending and $ 30.2 billion in three-month lending were provided to financial institutions through the accounts of the Federal Reserve Bank of New York.
The three-month period was the first supply since December 2008 following the collapse of Lehman Brothers, indicating a strong need for financial institutions to raise dollars for a longer period than the fiscal year.
The BOJ will continue to provide ample dollar funding to the market once a week.
Due to the turmoil in the financial markets, investors are increasingly selling stocks and bonds to secure the dollar, the world's most traded major currency, and this has led to a global stock depreciation It was pointed out that this was causing financial market turmoil.