Japan proposes cutting liquidity-enhancement bond auctions to 500 billion yen
The ministry proposed reducing monthly issuance for medium-term government bonds in October-December to 500 billion yen from the current quarter.
TOKYO, Sept 28 (Reuters) — Japan's Ministry of Finance on Monday proposed scaling back its liquidity-enhancement auctions for medium-term government bonds, citing improved market functioning as the Bank of Japan continues to trim bond purchases. At a meeting with primary dealers, the ministry suggested monthly issuance for bonds with remaining maturities of more than five years and up to 11 years be reduced to 500 billion yen in the October-December quarter, a decline of 150 billion yen from the current quarter, according to a ministry document.