If the underwriting of FBs by the Bank of Japan had continued and there was a shortage of such products in the market, securing financial market stability would have been much more difficult than now.
Making ABS and ABCP eligible collateral In relation to financial market improvement, the Bank of Japan made asset-backed securities (ABS) and asset-backed commercial paper (ABCP) eligible collateral for its money market operations. As collateral for bill operations and the Lombard-type lending facility, the Bank selects eligible collateral based mainly on creditworthiness and marketability.