TOKYO - Japan's ruling coalition passed a debt relief bill for cash-strapped small companies in the lower house of parliament on Friday, despite a boycott by the opposition.

Under the bill, which still has to clear the upper house, lenders are "strongly encouraged" to give firms more time to repay debt, as well as to consider interest rate reductions or loan waivers.

The bill was immediately sent to the upper house, where the governing coalition aims to have it enacted as soon as next week, ruling lawmakers said.

It was the first legislation passed since Prime Minister Yukio Hatoyama took office in September, ending more than half a century of almost unbroken rule by the conservative Liberal Democratic Party (LDP).

Japan's economy exited recession in the second quarter of this year, but conditions remain difficult for many small companies.

The LDP and its opposition partners boycotted the vote, complaining that there had not been sufficient deliberations.

But Hatoyama defended the passage, saying he wanted the opposition to "understand that it should be done as quickly as possible for the sake of our people."

The LDP said it would continue its boycott in the upper house, which is also controlled by the ruling coalition.