BoJ may ease rules on asset-backed securities

Proposed rule changes to the Bank of Japan's asset-backed securities purchase will be on the agenda for discussion when the BoJ Policy Board convenes on Jan 19-20.

The Bank of Japan began buying securities last July as part of its monetary relaxation policy, with purchases now totalling some 250 bn yen, only one-quarter the maximum authorized amount of 1 trln yen.

The current rules require that 50 pc of the securities purchased by the BoJ be backed by the assets of small and midsize firms. The BoJ

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Geoeconomic reserve management

The world order is evolving. Whether, and how, the international economy remains integrated or shifts into spheres of influence has consequences for central bank policy and reserve management.

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