Japanese finance ministry intention according to govt sources 22 Aug

  • assumes borrowing rate of 1.2% in FY 2018/19 budget request

Reuters reporting their sources fyi.

The 1.2% is versus the 1.6% the MOF had assumed last year when requesting its budget for this year, which was later lowered to an assumed rate of all-time low 1.1%.

With Japanese interest rates weighed down under BOJ yield curve controls the assumed rate could be lowered again in Dec when the MOF compiles a draft budget.

The 2017/18 debt-servicing cost was adjusted to JPY 23.5trln

USDJPY still 108.28 underpinned in Asia but equally with sellers poised still.

USDJPY