Bank of Japan Unveils Plan to Purchase Corporate Bonds

The Bank of Japan wants to help companies get through the current economic troubles by purchases corporate bonds. Indeed, the BOJ plans to buy Y1000 billion in corporate bonds in order to help shore up companies by providing them with some capital in these tough economic times.

In addition to purchasing corporate bonds, the Bank of Japan is planning to step up its program regarding commercial paper, as well as offering loans to financial institutions (collateral-backed, though).

As the situation in the Japanese economy continues to decline, along with the rest of the global economy, the government is looking for ways to help keep companies from total collapse. Confidence hasn't been completely restored, but there is some hope.

The BOJ also opted to keep the current interest rate on hold.