Other ADB Members

Sum of Measures 1—5 (Total Package)

Total Package in USD Million: 3,578,224.71
% of GDP (2019): 68.84%
% of Regional Total Package: N/A
Package Per Capita in USD: 28,339.00
Note: Measures 9 and 10 are added to the sum of Measures 1-5.
Measure Amount (Local) Amount (USD) Details Update Source
01 - Liquidity Support info_outline JPY99,500,000,000,000 USD927,368,350,975
01A - Short-term lending info_outline JPY99,500,000,000,000 USD927,368,350,975

(i) No amount/estimate: Targeted liquidity provision through special funds-supplying operation to provide loans to financial institutions to facilitate financing of corporates. On 22 May 2020, the BOJ stated it is providing ample yen and foreign currency funds without setting upper limits including the conduct of the U.S. dollar funds-supplying operations. As of 16 June 2020, JPY60 trillion has been provided under special funds-supplying operations; (ii) 16 March 2020, An increase in the annual pace of the Bank of Japan’s (BOJ) targeted purchases of commercial paper with an upper limit of JPY2 trillion. On 27 April 2020, the maximum amount of additional purchases of commercial paper was increased to JPY7.5 trillion; (iii) 22 May 2020, JPY30 trillion for a new fund-provisioning measure to support financing of SMEs.

01B - Support policies for short-term lending info_outline

No amount/estimate: (i) Banks have been allowed to draw down the stock of high-quality liquid assets below the minimum liquidity coverage ratio requirement; (ii) 27 April 2020, The Bank of Japan (BOJ) strengthened its special funds-supplying operations by (a) expanding the range of eligible collateral to private debt in general, including household debt, and (b) increasing the number of eligible counterparties (to mainly include member financial institutions of central organizations of financial cooperatives); (iii) 8 May 2020, Decreased the Benchmark Ratio used to calculate the Macro Add-on Balance in financial institutions' current account balances at the BOJ (to which 0% interest rate is applied) for the May 2020 reserve maintenance period from 32.5% to 30%. As of 9 December 2020, the benchmark ratio increased to 17.5% during the December 2020 reserve maintenance period.

01C - Forex operations info_outline

No amount/estimate: (i) The exchange rate has been allowed to adjust flexibly; (ii) See (i) May 22 in Measure 1A.

02 - Credit creation info_outline JPY10,500,000,000,000 USD97,862,991,811
02A - Financial sector lending/funding info_outline JPY10,500,000,000,000 USD97,862,991,811

16 March 2020, An increase in the annual pace of the Bank of Japan’s (BOJ) targeted purchases of corporate bonds with an upper limit of JPY3 trillion, respectively. On 27 April 2020, the maximum amount of additional purchases of corporate bonds was increased to JPY7.5 trillion.

02B - Support policies for long-term lending info_outline
02B1 - Interest rate adjustments

19 March 2021, The BOJ will let long-term rates move around the target levels more flexibly, changing the range between around plus and minus 0.25% instead of plus and minus 0.2% [update].

02B2 - Other policies to support long-term lending

No amount/estimate: (i) The government expanded the volume of concessional loan facilities (interest free without collateral) primarily for micro, small, and medium enterprises affected by COVID-19 through the Japan Finance Corporation and other institutions; (ii) The government will also enhance access to loans with the same conditions from local financial institutions, such as local banks; (iii) To support borrowers during this period of stress, the Financial Services Agency has reassured that banks can assign zero risk weights to loans guaranteed with public guarantee schemes, use their regulatory capital as needed to support funding of affected businesses, and draw down their capital conservation and systemically important bank buffers to support credit supply; (iv) 27 April 2020, In relation to Measure 1B, the BOJ applied a positive interest rate of 0.1 percent to the outstanding balances of current accounts held by financial institutions at the Bank that correspond to the amounts outstanding of loans provided through special funds-supplying operation.

02C - Loan guarantees

No amount/estimate: As of July 2020, loan guarantees from the Japan Finance Corp. for JPY130 billion in emergency response loans extended by the Development Bank of Japan to Nissan Motor between March and July 2020.

03 - Direct long-term lending info_outline
03A - Long-term lending info_outline

Concessional loans from public and private financial institutions (included in the amount of the Emergency Economic Package Against COVID-19; see Measure 5).

03B - Forbearance
04 - Equity support info_outline JPY12,180,000,000,000 USD113,521,070,501

An increase in the annual pace of the Bank of Japan’s purchases of Exchange Traded Funds (ETFs) and Japan-Real Estate Investment Trusts (J-REITs) up to about JPY12 trillion (2.2% of GDP) and JPY180 billion (0.03% of GDP) in 2020, respectively. 19 March 2021, The central bank dropped from the policy statement its reference to a JPY6 trillion target for annual purchases of exchange trade funds, while keeping the upper limit of about JPY12 trillion [update].

05 - Health and income support JPY258,830,000,000,000 USD2,412,369,349,577
05A - Health support

(i) 12 December 2020, The latest economic stimulus package involves JPY40 trillion in direct fiscal spending including JPY5.9 trillion for virus containment measures (https://bit.ly/3p8FoFT) (amount of stimulus package recorded in Measure 5c, sub-item iv); (ii) No amount/estimate: 12 February 2021, The Japan government approved the Pfizer vaccine as the first for COVID-19. 17 February 2021, Japan launched its COVID-19 inoculation drive, administering the Pfizer vaccine to Tokyo hospital workers.

05B - Income support JPY9,300,000,000,000 USD86,678,649,890
05B1 - Tax and contribution deferrals and policy changes
05B2 - Tax and contribution rates reduction

No amount/estimate: 19 May 2020, Exemption of customs duty and (domestic) consumption tax for imported goods which are proved to be provided free of charge.

05B3 - Subsidies to individuals and households JPY8,000,000,000,000 USD74,562,279,475

17 April 2020, cash payments of JPY100,000 per person will be given to all citizens nationwide, from the previously announced JPY300,000 to each household in need whose income has declined significantly so that the total amount of cash payments will expand significantly, from the scale of JPY6 trillion to more than JPY14 trillion.

05B4 - Subsidies to businesses JPY1,300,000,000,000 USD12,116,370,415

21 July 2020, JPY1.3 trillion in domestic tourism subsidies aimed at helping coronavirus-battered local economies.

05B5 - Indirect income support
05B6 - No breakdown (income support)
05C - No breakdown (health and income support) JPY249,530,000,000,000 USD2,325,690,699,687

(i) 7 April 2020, The Government of Japan adopted the Emergency Economic Package Against COVID-19 of JPY117.1 trillion (21.1% of gross domestic product [GDP]) and subsumed the remaining part of the previously announced packages (the December 2019 stimulus package (passed in January 2020) and the two COVID-19-response packages announced on 13 February and 10 March 2020, respectively). The April 2020 package aims at five objectives: (a) Develop preventive measures against the spread of infection and strengthen treatment capacity (expenditure of 0.5% of GDP); (b) Protect employment and businesses (15.1% of GDP); (c) Regain economic activities after containment (1.6% of GDP); (d) Rebuild a resilient economic structure (3% of GDP); and (e) Enhance readiness for the future (0.3% of GDP; the key measures under the package comprise cash handouts to affected households and firms, and deferral of tax payments and social security contributions); (ii) 14 May 2020, The government announced another set of new measures to be included in the formulation of the second supplementary budget: (a) enhance the Employment Adjustment Subsidies by raising the maximum payment to 15,000 yen per day as a special measure and establish a new scheme that allows employees themselves to directly apply for and receive the money; (b) establish a new assistance scheme to further reduce rents, a fixed cost that is posing a major burden on micro-, small- and medium-sized business operators (SMEs); (c) establish a new mechanism for supporting students, including university students; (d) with government outlays, cover the total expenditure of the comprehensive support subsidy for medical systems and increase the amount significantly; and (e) provide adequate liquidity support for large companies and those relatively smaller ones, in addition to small- and medium-sizes enterprises. We will also implement measures to strengthen financial functions such as increasing the allocation of special lending by the Japan Finance Corporation and crisis response lending by the Development Bank of Japan, as well as strengthen the financial base with capital funds including subordinated loans; (iii) 12 June 2020, Parliament enacted the second supplementary budget worth JPY31.91 trillion which includes financial assistance to medical staff, and small firms and single proprietors. These direct spending measures are part of the JPY117 trillion stimulus package approved by the Cabinet on 27 May 2020 which brings the total amount of stimulus from all economic packages to JPY234 trillion (over 40% of GDP); (iv) 12 December 2020, Prime Minister Suga announced a new USD708 billion economic stimulus package to support the country's economic recovery from COVID-19 and target investments in new growth areas. The package includes JPY40 trillion (USD384.54 billion) in direct fiscal spending: (a) JPY5.9 trillion for virus containment measures; (b) JPY18.4 trillion to support structural changes towards a post-pandemic economy; (c) JPY5.6 trillion for disaster management reduction; (d) JPY5 trillion from FY 2020's reserve funds; and (e) JPY5 trillion from FY 2021's reserve funds (https://bit.ly/3p8FoFT). The government is also compiling a JPY20 trillion third budget package for the current and succeeding fiscal years. 28 January 2021, Japan's parliament enacted a third extra budget for fiscal 2020 totaling JPN19.18 trillion yen to ramp up measures to fight the coronavirus pandemic. The extra budget contains JPN15.43 trillion in newly allocated funds, with the rest carried over from previously approved budgets; (v) 21 December 2020, The Cabinet approved a record JPY106.61 trillion budget for 2021 which will be submitted to Parliament in January 2021.

06 - Budget reallocation info_outline
07 - Central bank financing government JPY48,012,000,000,000 USD447,485,520,272
07A - Direct lending and reserve drawdown
07B - Secondary purchase: government securities JPY48,012,000,000,000 USD447,485,520,272

The BOJ will purchase a necessary amount of JGBs without setting an upper limit so that 10-year JGB yields will remain at around 0%. The peak change in BOJ purchases of Japanese government securities less bank notes since 20 February 2020 amounted to JPY48.012 trillion, posted in 20 December 2020 [update].

08 - International Assistance Received JPY24,230,911,564,286,000 USD225,839,000,000,000
08A - Swaps info_outline JPY24,230,911,564,286,000 USD225,839,000,000,000

(i) No amount/estimate: 20 March 2020, The BOJ in coordination with the Bank of Canada, the Bank of England, the European Central Bank, the Federal Reserve, and the Swiss National Bank enhanced the provision of US dollar liquidity on 15 March 2020, by lowering the pricing on the standing US dollar liquidity swap arrangements by 25 basis points; and (ii) As of 27 May 2020, USD225.839 billion peak outstanding amount at the U.S. Fed's liquidity swap facility. On 29 July 2020, The U.S. Federal Reserve announced the extension of its dollar liquidity swap lines and FIMA repo facility to 31 March 2021.

08B - International loans/grants
08B1 - Asian Development Bank
08B2 - Other
09 - International Assistance Provided JPY2,907,944,576,924 USD27,102,872,030
09A - Swaps info_outline JPY2,763,864,000,000 USD25,760,000,000

(i) 7 April 2020, USD22.76 billion bilateral currency swap arrrangement with Bank Indonesia; (ii) 18 September 2020, The BOJ signed a bilateral swap arrangement with Bank Negara Malaysia which eanbles them to swap their local currencies for up to USD3 billion for both countries.

09B - International loans/grants JPY144,080,576,924 USD1,342,872,030

Japan as donor: (i) Additional USD100 million contribution to the International Montary Fund’s Catastrophe Containment and Relief Trust as immediately available resources supports the Fund’s capacity to provide grant-based debt service relief for the poorest and most vulnerable countries to combat COVID-19; (ii) 16 April 2020, Japan announced that it is aiming at doubling its contribution to the Poverty Reduction and Growth Trust (PRGT) SDR 7.1 billion of which SDR 1.8 billion will be made available immediatrly while the additional SDR 1.8 billion will follow once other member countries make their contributions; (iii) 18 May 2020, USD150 million to the ADB to strengthen developing member countries' capacity to contain COVID-19 through the Japan Fund for Poverty Reduction (JFPR) and the Asia Pacific Disaster Response Fund (APDRF); (iv) Assistance to Maldives: (a) 2 May 2020, USD541,400 emergency grant for COVID-19 response thru the United Nations Children's Fund and Maldives Red Crescent; and (b) 21 May 2020, USD1.4 million grant through the United Nations Development Programme to support Maldives' economic recovery; (v) 1 July 2020, JPY50 billion loan under the COVID-19 crisis response emergency support of the Japan International Cooperation Agency (JICA) and JPY2 billion grant aid for medical equipment and laboratories for the Philippines; (vi) 15 September 2020, JICA provided another JPY50 billion loan to the Philippines under the second phase of the Post-Disaster Standby Loan; (vii) 21 October 2020, The Government of Japan has provided a JPY1 billion grant for the procurement of medical equipment by the Government of Egypt; (viii) October 2020, Japan announced a new contribution of USD10 million to the COVID-19 Crisis Development Initiative; (ix) 19 February 2021, Japan committed USD79 million for the COVAX Advance Market Commitment and Unitaid [update]; (x) 10 March 2021, Japan will provide JPY4.5 billion grant aid through the United Nation's Children's Fund to 25 countries in Asia and the Pacific Islands region to help them build a cold-chain distribution network for COVID-19 vaccines [update].

10 - No breakdown
11 - Other Economic Measures

16 December 2020, The BOJ announced it will purchase USD6 billion in cash from the Ministry of Finance's for its operations including foreign currency supply to financial institutions.

12 - Non-Economic Measures
12A - Measures affecting travel and transport (local and international)

(i) 7 April 2020, Prime Minister Abe declared a state of emergency for seven key prefectures in Japan (including Tokyo, Saitama, Kanagawa, Chiba, Osaka, Hyogo, and Fukuoka) effective from 8 April (including border and travel restrictions); (ii) On 19 June 2020, all restrictions on domestic travel were also lifted and domestic travel was also encouraged to support the economy; (iii) 18 June 2020, Prime Minister Shinzo Abe announced that the country would ease travel restrictions for people coming from Australia, New Zealand, Thailand and Vietnam. On 1 September 2020, The government lifted the reentry ban for all foreign residents who left the country after travel bans were imposed. On 7 October 2020, Authorities announced the lifting of mandatory 14-day quarantine for reentering business travelers with residency status and action plans of travel. On 30 November 2020, Japan and China restarted business travel without compulsory quarantine provided travelers test negative upon arrival and submit an itinerary of activities. On 26 December 2020, Authorities restricted entry from all countries once more to prevent the spread of the more contagious coronavirus strain identified in the United Kingdom. Bilateral business travel arrangements with 11 countries, however, will remain in place. 13 January 2021, 14-day quarantine period will be applied to all those who enter Japan. 14 January 2021, Authorities suspended business travel arrangements with 11 countries. 4 February 2021, A revised quarantine law was passed that allows authorities to demand those entering Japan to isolate themselves for 14 days at home, and those who refuse will be ordered to quarantine at special facilities; (iv) 11 March 2021, The government has asked foreign airlines to limit passengers to 100 per flight and domestic carriers to limit arrivals to 3,400 per week, amid concern about the spread of new coronavirus variants [update].

12B - Measures affecting business and workplace

(i) 7 January 2021, Prime Minister Suga declared a state of emergency once more asking bars and restaurants to close early, in Tokyo, Kanagawa, Saitama, and Chiba until 7 February 2021. On 13 January, state of emergency was expanded to seven more prefectures (Osaka, Hyogo, Kyoto, Gifu, Aichi, Fukuoka, and Tochigi); (ii) 3 February 2021, Prefectural governors will be allowed to issue orders to business operators, such as bars and karaoke joints to close or shorten operating hours and impose fines of up to JPY300,000 on violators; (iii) 18 March 2021, The government would lift the coronavirus state of emergency in Tokyo and three surrounding prefectures on 21 March 2021, but restrictions on restaurants and bars would remain in place. The government asked restaurants and bars to close earlier than usual, at 9 p.m, and it would provide JPY40,000 a day to each establishment for their cooperation [update].

12C - Others

(i) March 2020, The 2020 Tokyo Olympic Games have been postponed to 23 July–8 August 2021; (ii) 7 April 2020, Prime Minister Abe declared a state of emergency for seven key prefectures in Japan (including Tokyo, Saitama, Kanagawa, Chiba, Osaka, Hyogo, and Fukuoka) effective from 8 April; the declaration will enable prefectural governors in the designated areas to request people to stay at home, order closures of schools and public facilities, build temporary medical facilities, and adopt actions to support medical and food supplies; (iii) 13 May 2020, The Prime Minister has lifted the state of emergency ahead of schedule in 39 prefectures and kept it in place for 8 others including Tokyo (the lifting of which will be decided on 21 May 2020); (iv) 21 May 2020, The government lifted the state of emergency in Osaka, Kyoto, and Hyogo while keeping it in place for Tokyo and four other prefectures; (v) 25 May 2020, The government announced the lifting of the state of emergency for Tokyo and four remaining prefectures by 1 June 2020; (vi) 2 June 2020, Tokyo issued a stay-home alert after a jump in new virus infections. On 11 June 2020, the alert was lifted. On 19 June 2020, gatherings of up to 1,000 people in indoor/outdoor events were allowed; (vii) 7 January 2021, Prime Minister Suga declared a state of emergency once more asking residents to stay at home at night and workers to telecommute in Tokyo, Kanagawa, Saitama, and Chiba until 7 February 2021. On 13 January, state of emergency was expanded to seven more prefectures (Osaka, Hyogo, Kyoto, Gifu, Aichi, Fukuoka, and Tochigi). 2 February 2021, The government announced that the state ofemergency in 10 prefectures, including Tokyo, will be extended by a month to 7 March 2021. 3 March 2021, The government extends the state of emergency until 21 March 2021 in Tokyo and surrounding prefectures; (viii) 3 February 2021, Bills to fine violators of social distancing rules were passed and are expected to take effect by mid-February. Infected people will be fined up to JPY500,000 if they refuse hospitalization or leave hospital before recovery. Fines of up to JPY300,000 will be imposed on individuals who do not cooperate with public health officials conducting infection tests or interviews; (ix) 17 March 2021, The government announced it would lift the state of emergency in the capital region on 21 March 2021 [update]; (x) 20 March 2021, International spectators would not be allowed to enter Japan during Tokyo Olympics over Covid-19 concerns [update].