TOKYO: Japanese Chief Cabinet Secretary MATSUNO Hirokazu on Monday welcomed a decision by Swiss financial giant UBS to acquire Credit Suisse for the rescue of the troubled domestic rival.

“We think the deal came as a result of relevant parties in countries concerned making efforts quickly to prevent the effects of credit concerns from spreading,” the top Japanese government spokesman said at a press conference.

On a possible impact on Japan from the situation, Matsuno said, “Japanese financial institutions generally have sufficient liquidity and capital bases, so the country’s financial system remains stable as a whole.”

Besides UBS’ decision to bail out Credit Suisse, which was led by the Swiss government and others, six major central banks including the US Federal Reserve and the Bank of Japan have agreed to cooperate in expanding dollar liquidity supply to help financial markets maintain stability.

On Monday, Japanese financial services minister Shunichi Suzuki told reporters that Japanese authorities will “carefully and thoroughly examine a possible impact on Japan” from the series of developments, adding, “We will keep a close watch (on financial market movements) with a sense of caution.”

JIJI Press