Title: Japan Debt Clock: What Is A Rolling Liquidity Strategy Doing To Economic Health? - Commodity.com
Headings: Japan Debt Clock: What Is A Rolling Liquidity Strategy Doing To Economic Health?
Japan Debt Clock: What Is A Rolling Liquidity Strategy Doing To Economic Health?
¥ 1,066,471,507,450,168
The National Debt Of Japan
Other Facts About Japanese National Debt
How Did Japan’s National Debt Grow So Large?
How High Is The Present GDP-To-Debt Ratio?
How Did The National Debt Erosion Impact Foreign Income?
How Did The 80s And 90s Financial Crises In Japan Occur?
What Happened To Japan’s Economy After The Property Crash?
Who Is In Charge Of Japan’s National Debt?
Types Of Japanese Government Securities
What Long-Term Debt Instruments Does The Government Issue?
What Are Revenue Bonds?
How Do Inflation-Indexed Bonds Work?
When Could The JGBi Lose The Most Value?
What Are Floating Rate Bonds?
Who Can Purchase JGB Bonds?
Interested in Trading Commodities?
Further Reading
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Content: The government holds auctions of bonds with 2 to 30-year maturities once a month and 40-year bonds are auctioned off quarterly. This is redeemed at full face value on its maturity date. How Do Inflation-Indexed Bonds Work? The inflation-linked bond is often referred to as a JGBi. The face value of this bond increases every year with inflation, but the interest rate on the bond remains the same. However, as the capital amount of the bond increases the actual payment of interest will increase because the fixed interest rate is progressively applied to a larger face value each year. The Japanese government currently only offers JGBi with a maturity period of 10 years. The inflation rate applied to the bond is calculated as the Ref index for the day by Ref index at the time of issuance. When Could The JGBi Lose The Most Value? Beware, if the economy of Japan produces a negative inflation rate (deflation) the face value of the JGBi will fall.