Japan plans to cut super-long bond sales in fiscal year revision - Reuters

Published 20/06/2025, 19:18
Japan plans to cut super-long bond sales in fiscal year revision - Reuters

Investing.com -- Japan’s government is planning to reduce sales of super-long bonds more than initially planned in a revision to its bond issuance program for the current fiscal year, according to Reuters, citing a finance ministry document.

The revision to the annual issuance plan was presented to primary dealers for discussion at a meeting on Friday. This change, along with the Bank of Japan’s recent decision to slow its tapering of bond purchases from next fiscal year, shows policymakers are working to address market concerns following the surge in super-long yields to record highs last month.

After the meeting, a finance ministry official told reporters that the ministry is not currently implementing buybacks of super-long Japanese Government Bonds (JGBs) that were issued in the past at low interest rates.

The official added that while the government won’t rule out the possibility of considering buybacks in the future, both demand and feasibility for such operations would need to be discussed before taking such a step.

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