Monstrous Money Printer Bank of Japan Stopped Printing Money, Started Unloading Government Securities | Wolf Street

The BoJ has been shedding its holdings of Japanese government securities, starting in February 2021. Since then, its holdings fell by 2.2%, or by ¥11.9 trillion ($104 billion), to ¥528 trillion.

These government securities amount to about 73% of the BoJ’s total assets. At the end of October, they consisted of ¥509 trillion of Japanese Government Bonds (JGBs) and ¥18.7 trillion of short-term Japan Treasury bills. The decline in the BoJ’s securities holdings since February was concentrated on these Treasury bills.

In terms of the total amount of assets it purchased, in dollar terms, the Bank of Japan is in third place among the top three QE monsters, behind the ECB and the Fed. But the BoJ started 21 years ago, while the Fed and the ECB started 13 years ago. Now, combined, the three QE monsters hold nearly $25 trillion in assets:

Monstrous Money Printer Bank of Japan Stopped Printing Money, Started Unloading Government Securities | Wolf Street