Diverse opinions on government bond purchases, reduction ranges, etc. = Bank of Japan data on bond market meetings

July 9, 2024 at 5:18 PM GMT+9 (some excerpts)

The Bank of Japan released explanatory materials shown at the bond market participants meeting on the 9th. Prior to the event, the Bank of Japan was investigating opinions on how government bond purchases should be reduced for participating financial institutions, etc., and voices saying that a reduction of up to about 2-3 trillion yen is desirable based on examples of QT (quantitative tightening) of overseas central banks were posted in the materials. However, the opinions that have been published are diverse, and I don't understand the majority opinion.
Regarding the reduction in government bond purchases, in addition to opinions such as “it is important to show a pass up to zero purchase amount” based on the fact that government bond purchases have ceased to be a tool of policy, opinions such as “it is desirable to aim for around 1-2 trillion yen”, assuming that “government bond purchases to supply growth currencies” that were carried out before large-scale mitigation should be returned.