TOKYO, Japan (AFP) — Japan is expected Friday to announce a huge stimulus package to cushion the economy from the impact of a weak yen and inflation, though the central bank refused to budge from the ultra-loose policy that has hammered the currency.

Ahead of cabinet approval for the relief measures, Prime Minister Fumio Kishida said the government would "seek swift approval" of an extra budget worth 29.1 trillion yen (around $200 billion).

Prices are rising in Japan at their fastest rate in eight years, although the three-percent inflation rate remains well below the sky-high levels seen in the United States and elsewhere.

The yen has also lost more than a fifth of its value against the dollar this year, prompting authorities to intervene to prop up the currency.