Japan 10-yr gov't bond coupon lifted above 1% for 1st time in 12 yrs

TOKYO, 2nd July, 2024 (WAM) -- The Japanese government raised Tuesday the coupon rate for new 10-year government bonds to above 1 percent for the first time in some 12 years, reflecting recent rises in long-term interest rates stemming from the Bank of Japan's tweaks to monetary policy, reported Kyodo News.

The Finance Ministry hiked the coupon rate - the annual interest rate paid to investors - for the benchmark bonds to be issued Wednesday from 0.8 percent to 1.1 percent.

The last time the rate was set above 1.0 percent was in April 2012, a year before the central bank embarked on its unorthodox monetary easing programme designed to lift Japan out of a period of chronic deflation.