Japan's monetary base rises 30.8 pct on year in Nov.

Japan's November monetary base rose 30.8 percent from a year earlier as the Bank of Japan (BOJ) continued measures to bolster liquidity as part of its ongoing efforts to achieve its inflation target, data from the central bank showed Wednesday.

According to the BOJ, the nation's monetary base stood at 343.67 trillion yen (2.80 trillion U.S. dollars) at the end of November, following a 0.2 percent slide logged a month earlier.

The BOJ said the biggest component to the monetary base, Japan's financial institutions, saw the balance of their current account deposits jump 44.4 percent in the recording period to 245.85 trillion yen.

Japan's central bank will continue with its ultra-accommodative monetary policy of underpinning the monetary base at the annual pace of around 80 trillion yen. The bank's quantitative easing measures have been expanded from an initial 60 trillion to the current amount as the bank has ramped up its mission to reverse deflation that has mire the economy here for decades.

Japan's monetary base specifically refers to the amount of currency that is either circulated in the hands of people living in Japan or in domestic commercial bank deposits held in the central bank's reserves.

This measure of the money supply typically only includes the most liquid currencies and the Japanese administration maintains a relatively high degree of control over the monetary base by buying and selling government bonds in the open market.

The central bank here by maintaining its very accommodating monetary policies as well as injecting emergency funds into markets has helped facilitate the steady increase in Japan's monetary base. Endit