Proposed $250 billion bailout of banks:
Tokyo, Oct. 10 (Bloomberg) -- The Japanese government and the ruling Liberal Democratic Party may boost to at least 30 trillion yen ($254 billion) a proposed public fund for helping banks clean up bad loans, Japanese newspapers reported, citing government officials. An LDP bill submitted to the Diet last week had called for 10 trillion yen for part of the fund. The ruling party now wants to boost this amount using money to be included in a second supplementary budget planned for the year ending in March 1999. Separately, Tsutomu Hata, secretary general of the opposition Democratic Party of Japan, called for the government set aside 67 trillion yen -- 30 trillion yen to save the banks, another 20 trillion yen to temporarily nationalize banks and 17 trillion yen to protect depositors, the papers said.
Japan's ruling and opposition party leaders yesterday said they want to expand proposed funds to help both failed and viable banks being suffocated by risky and nonperforming loans of 77 trillion yen.
(Yomiuri, Nihon Keizai, Asahi, Sankei, 10/10, front page) |
