Overview
- The cabinet set super‑long JGB issuance at about ¥17.4 trillion next fiscal year, the lowest in 17 years after a reduction of nearly one‑fifth.
- Total JGB supply will be about ¥180.7 trillion, roughly 5% below the current year, with more two‑ and five‑year notes and no increase in 10‑year bonds.
- New bond issuance will edge up to ¥29.6 trillion as the debt dependence ratio falls to 24.2%, the lowest since 1998.
- Debt‑servicing costs are projected to jump 10.8% to ¥31.3 trillion based on a 3.0% assumed interest rate, the highest assumption in 29 years.
- From June the government will hold annual market hearings, as Prime Minister Sanae Takaichi underscores fiscal discipline to address investor concerns over elevated JGB yields.