TOKYO: The Bank of Japan said on Wednesday it will meet with bond market dealers more often to hear their views on how the central bank can smoothly purchase government bonds under its quantitative easing programme.
The BOJ is committed to buying government debt at an annual pace of around 80 trillion yen ($679.4 billion) as part of its strategy to raise inflation to 2 percent.
The central bank's government debt purchases are so large that often institutional investors are crowded out of the market, which has pushed some yields into negative territory and raised concerns that liquidity could dry up.
The BOJ will hold a new set of meetings with bond market participants twice a year, the central bank said in a statement.
The BOJ will meet with primary dealers in small groups so they can talk about the bond market in greater debt, the central bank said.
The central bank will also expand its meetings with banks that participate in money market operations, holding the first session of the year on Feb. 25, the statement said.
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