Injecting public funds into financial institutions Enactment of amendment law to ease application conditions June 12, 15:54
Amendment of the "Financial Function Strengthening Law" to ease the application conditions to facilitate public funds to financial institutions in order to strengthen financial bases of financial institutions and increase lending to companies affected by the new coronavirus The law was passed and passed at the plenary session of the House of Councilors on the 12th.
Under the amendment of the “Financial Function Enhancement Law” passed and passed at the House of Councilors plenary session, the deadline for financial institutions to apply for public funding will be extended by four years from the current March 2022 to March 2026. .
In addition, when financial institutions apply for the injection of public funds, it is essential to clarify management responsibility and indicate future profit targets, but in the case of being affected by the new coronavirus Regardless of responsibility, there is no deadline for repayment of public funds to the country.
In addition, the government will increase the amount of public funds that can be input from the current 12 trillion yen to 15 trillion yen in line with the revision of the law.
The government has urged financial institutions to actively accept loans and repayment offers from companies in areas affected by the new coronavirus.
The law enacted on 12th is expected to come into effect this August, and the government intends to support the move to support companies by clarifying the attitude of supporting the financial base of financial institutions.