Bank of Japan to trim bond buying, keeps rates steady

Pedestrians walk in front of the Bank of Japan's headquarters in Tokyo on May 30, 2024. (Photo by Kazuhiro NOGI/ AFP)

TOKYO: The Bank of Japan said on Friday it would start trimming its huge bond purchases and announce a detailed plan next month on reducing its nearly $5 trillion balance sheet, taking another step toward unwinding its massive monetary stimulus.

While it will continue to buy government bonds at the current pace of roughly 6 trillion yen ($38 billion) per month, the central bank decided to lay out details of its tapering plan for the next one to two years at its July meeting.