Japan opposition party to propose using BOJ's ETF dividends for child care

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Japan opposition party to propose using BOJ's ETF dividends for child care
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Raise a Glass to Malbec! Malbec World Day, April 17 | SaltWire #reels #shorts #wine #foodTOKYO - Japan's biggest opposition party is set to propose the government taps dividend income from exchange-traded funds owned by the Bank of Japan to help fund a planned $23 billion child care support package.

The BOJ's ETF holdings have ballooned to more than 60 trillion yen in market value, making it the biggest holder of Japanese shares and drawing heat for exposing its balance sheet to excessive market risk. CDP's proposal calls on the government to buy the BOJ's ETF holdings in exchange for grant bonds and to use ETF dividends to finance the 1 trillion yen portion of the 3.6 trillion yen package designed to stem Japan's declining birth rate, according to the party's document, which was reviewed by Reuters.

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