TOKYO, April 4 (Xinhua) — The Bank of Japan (BOJ) purchased a file 135,989 billion yen (1.02 trillion U.S. {dollars}) in Japanese authorities bonds in fiscal 2022, nearly double the quantity a yr earlier, the central financial institution mentioned.
To counter elevated bond gross sales available in the market brought on by its yield management coverage, the BOJ actively purchased 10-year and different authorities bonds within the yr by means of March, the most important quantity on file, topping the earlier excessive of 115,800.1 billion yen marked in fiscal 2016, based on a BOJ submitting on Monday.
The buy quantity expanded about 63 trillion yen from fiscal 2021 and about 1.5-fold from the 88,025.6 billion yen in fiscal 2013, when outgoing BOJ Governor Haruhiko Kuroda took workplace and launched into an enormous financial easing coverage, the information confirmed.
Under its yield curve management program, the BOJ units short-term rates of interest at minus 0.1 % whereas guiding 10-year Japanese authorities bond yields round zero %.
Last December, the BOJ introduced a shift in its ultra-loose financial coverage, elevating the yield on the 10-year Japanese authorities bond as excessive as 0.5 % from a earlier cap of 0.25 %. However, the transfer did not stem speculative bond promoting.