Its going to be a record $860 bln spending in FY2018/19
- General-account budget spending for the next fiscal year starting April will total 97.7 trillion yen ($860 billion)
- Public works spending will rise for a sixth consecutive year to 6 trillion yen to develop infrastructure related to the distribution network, tourism and the 2020 Tokyo Olympic Games
Despite the new high for spending, Japan plans to reduce the issuance of almost all maturities of Japanese government bonds (JGBs) during the 2018/19 fiscal year
Adds Reuters:
Reduced funding demand for rolling over its debt from previous years will allow the MOF to issue the smallest amount of JGBs in nine years in fiscal 2018/19
- The MOF will cut the offer amount of 40-, 30-, 10- and two-year JGBs, as well as one-year treasury discount bills, by 100 billion yen ($880 million) per auction
- five-year JGB offer amount per auction reduce by 200 billion yen
20-year JGBs, growing in popularity with investors, and inflation-linked bonds, of which the government issues only a small amount, will have their issuance amounts maintained
---
FY 18/19 begins on April 1, 2018
