Japan mulls $108 billion capital injection into banks
A news report says the Japanese government is considering injecting public money worth 10 trillion yen ($108 billion) into struggling banks in a bid to calm jittery financial markets, AP reported.
Citing unidentified sources, the Yomiuri newspaper said Monday the government could announce the measure as early as Monday. The government hopes the capital injection would stabilize Japan's financial market hit by plummeting stock prices and a soaring yen amid the global credit crisis.
Japan's Nikkei stock index lost 12 percent last week, while the Japanese yen soared to a 13-year high against the dollar, sparking massive selling of export-linked shares, such as Sony Corp. and Toyota Motor Corp. A strong yen cuts the value of overseas profits when repatriated to Japan.