Bank of Japan Public Statement

STATEMENT - New Initiative Toward Financial System Stability, 18 September.

1 At a regular board meeting following the Monetary Policy Meeting today, the Policy Board of the Bank of Japan decided the following course of action to facilitate resolution of the non-performing loan problem and to secure financial system stability.

2 While Japan's non-performing loan problem basically stems from the bursting of asset price bubbles, newly generated non-performing loans have emerged as a result of ag