The Japanese Yen has fallen against the US dollar and the euro on indications that the central bank of the country, the Bank of Japan would take aggressive steps to boost economy.

According to polls, Japan's main opposition party, the Liberal Democratic Party and its junior coalition partner might be able to secure a majority in the parliament to form a new government. It is widely believed that the Bank of Japan under the new government will continue to aggressively take steps aimed at boosting the economy in the world’s third largest economy.

The central bank is looking to consider the policies of the new government before making decisions. Main opposition party leader Shinzo Abe appears to be favoring more fiscal and monetary stimulus and has even asked the central bank to keep the interest rates at zero or even at sub zero levels.

BoJ is also offering unlimited loans to banks in the country boost domestic demand and encourage lending. Experts say that the measures would help the economy but the central bank is required to further steps to boost the economic growth.

The US dollar was trading for 83.85 yen, up 0.3 percent on the day after touching 83.95, which is its highest level since March 21.