Japan’s Ministry of Finance announced a liquidity enhancement auction for October 27, offering about 250 billion yen of off the run super long JGBs: 20 year issues 163 to 197, 30 year issues 28 to 91 and 40 year issues 1 to 18, with an issue date of October 28. The sale is half the size of the roughly 500 billion yen operation scheduled for October 22 in the 10 to 30 year sector, and it lands two days before the Bank of Japan’s October 29 to 30 meeting. Liquidity enhancement auctions reopen older, cheaper lines to lift their liquidity toward on the run benchmarks, and running one in the 20 to 40 year zone keeps the long end orderly while the market prices the policy path.
Japan sets 250 billion yen liquidity auction for October 27
Japan's Ministry of Finance will hold a liquidity enhancement auction of about 250 billion yen on October 27, reopening off the run 20, 30 and 40 year JGB issues, with an issue date of October 28.
Why it matters: The operation targets the super long end two days before the Bank of Japan's October 29 to 30 meeting, keeping older 20 to 40 year lines liquid and fungible while the curve prices further normalisation.
Data as of Ministry of Finance announcement dated October 20, 2026 (provisional translation), read in full on the ministry site: auction October 27, 2026, issue date October 28, 2026, offering amount about 250 billion yen, eligible issues 20 year Nos. 163 to 197, 30 year Nos. 28 to 91 and 40 year Nos. 1 to 18. Developing item.
Sources
- Announcement of Liquidity Enhancement Auction on October 27, 2026 - Japan Ministry of Finance - 2026-10-20