Japan’s central bank to ensure market stability amid virus outbreak

TOKYO: Bank of Japan (BOJ) Governor Haruhiko Kuroda said Monday that the central bank will take necessary measures to ensure stability in financial markets, which have been jolted by the worldwide spread of the coronavirus.

“Global financial and capital markets have been unstable recently with growing uncertainties about the outlook for economic activity due to the spread of the novel coronavirus,” Kuroda said in an emergency statement. “The BOJ will closely monitor future developments, and will strive to provide ample liquidity and ensure stability in financial markets through appropriate market operations and asset purchases,” the governor said.

The rare statement from the central bank came after Tokyo shares tumbled at the opening of the morning session amid escalating concerns over the global economic impact from the coronavirus crisis. After Kuroda’s statement, the benchmark Nikkei 225 Stock Average recovered, gaining 201.12 points, or 0.95 percent, from Friday to close at 21,344.08

Source: Kuwait News Agency