Bank of Japan policymakers are expected to stick with their massive easing measures after concluding a two-day meeting on Thursday.
BOJ Governor Kuroda Haruhiko will announce the policy direction shortly after the meeting.
Market participants want to know what the central bank will do if the yen continues its slide against the US dollar.
Further widening of the Japan-US interest rate differential could accelerate the sell-off of the yen as investors seek higher yields in the US.
The government and central bank have raised their alert levels amid accelerating yen depreciation.
Finance Minister Suzuki Shunichi made the comments on Wednesday last week as the Japanese currency neared 145 to the dollar. He said the government will do whatever is necessary, including market interventions. He added that such an action would be immediate.
On the same day, the BOJ conducted an interest rate review of commercial banks, a possible sign that the government and central bank are preparing for currency intervention.
The move has fueled caution in some financial markets that the rapid weakening of the yen would prompt the government and BOJ to go ahead and sell the dollar while buying the yen.
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