Japan to Issue $75 Billion in New Bonds to Fund Stimulus

Japanese Prime Minister Sanae Takaichi’s government plans to issue more new bonds to fund its economic package than the corresponding amount last year, as concerns smolder over the nation’s public finances and rising yields.

The extra budget, totaling about ¥18.3 trillion ($117 billion), will be funded by ¥11.7 trillion in additional bond issuance, according to a document seen by Bloomberg on Thursday. The government also expects to tap ¥2.9 trillion in tax revenue surpluses, roughly ¥1 trillion in non-tax revenue, and about ¥2.7 trillion in unused funds from the previous fiscal year to limit borrowing.