Tokyo  - Tokyo stocks recovered from early losses Thursday to end the day higher as market sentiment was buoyed by a Bank of Japan plan to help corporate financing.

The benchmark Nikkei 225 Stock Average rose 150.1 points, or 1.9 per cent, to close at 8,051.74.

The broader Topix index of all first section issues was also up 8.76 points, or 1.11 per cent, to 795.91.

The Bank of Japan decided at a board meeting Thursday to maintain its key short-term interest rate at 0.1 per cent and buy 3 trillion yen (33.51 billion dollar) of commercial paper from banks and corporations to encourage lending.

On currency markets at midday (0300 GMT), the dollar traded at 89.12-17 yen, down from Wednesday's 5 pm quote of 89.89-92 yen.

The euro traded at 1.3008-13 dollars, up from Wednesday's 5 pm quote of 1.2904-07 dollars, and at 115.94-99 yen, down from 116.02-06 yen. (dpa)