Japan to boost emergency lending: Report

TOKYO: The Japanese government is finalising plans to expand its emergency lending programme for troubled firms by increasing funding tenfold to around 100 billion dollars, a report said Wednesday.

The current programme, offered by the government-funded Development Bank of Japan with one trillion yen (10 billion dollars) in funding, provides corporate financing for Japanese companies struggling with the global economic crisis.

Ruling party lawmakers are expected to submit legislation to parliament as early as next week to bolster the loan programme, the business daily Nikkei reported, citing unnamed sources from the bank and the government.

The existing one trillion yen in funds has already been exhausted and there is still strong demand for the low-interest loans, which have been extended to firms such as Nissan Motor Co and Mitsubishi Motors Corp, the report said.