TOKYO, Nov 10 (Reuters) - The Bank of Japan announced on Tuesday that it has decided to introduce a special deposit facility to strengthen the resilience of the regional financial system.
Under the new scheme called “the Special Deposit Facility”, financial institutions which make decisions on mergers, business integration or acquisitions between Nov. 10 and the end of March 2023, their excess reserve balances will be remunerated for three years, it said in a statement.
The interest rate applied to excess reserve balances in the Special Deposit Facility will be 0.1% per annum, it said.
Reporting by Kaori Kaneko; Editing by Jacqueline Wong
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