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MNI (Sydney)

The Japanese government will extend its no-interest rate and no collateral loans to smaller firms, which were expire at the end of June, to the end of this year, local newspapers reported on Tuesday.

The government will continue to support corporate financing as it has decided to declare a third state of emergency.

The government's decision will increase pressure on the Bank of Japan to extend its lending facility, which is set to end on September 30, and the BOJ board may decide to extend the facility as early as the June policy-setting meeting.

BOJ Governor Haruhiko Kuroda has said that the BOJ will extend the facility if necessary.

MNI Sydney Bureau | +61-405-322-399 |
MNI Sydney Bureau | +61-405-322-399 |

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