BOJ Owns Over 50 Pct of Outstanding JGBs for 1st Time

Economy

Tokyo, Dec. 19 (Jiji Press)--The percentage of Japanese government bonds held by the Bank of Japan stood at 50.26 pct at the end of September, exceeding the 50 pct threshold for the first time, BOJ data showed Monday.

The latest figure was sharply up from 11.55 pct at the end of March 2013, soon after incumbent BOJ Governor Haruhiko Kuroda took office, reflecting the central bank's continued JGB purchases under its massive monetary easing policy.

According to the flow of funds data for July-September, the BOJ owned 536 trillion yen of the 1,066 trillion yen in outstanding JGBs, excluding treasury discount bills, at the end of the quarter.

Meanwhile, the balance of financial assets held by households rose 0.8 pct from a year before to 2,005 trillion yen, topping the 2,000-trillion-yen mark for the fourth straight quarter and renewing the end-of-September record.

Of the total household financial assets, cash and deposits accounted for 1,100 trillion yen, up 2.5 pct, and insurance came to 382 trillion yen, up 1.1 pct.

[Copyright The Jiji Press, Ltd.]

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