Analysts say BOJ's policy framework makes helicopter money highly likely

Tokyo

NO MATTER what he says or does, helicopter money speculation follows Japan's central bank chief Haruhiko Kuroda.

From Tokyo to Stockholm, some analysts see the groundwork for a central bank-funded fiscal stimulus in last month's decision by the BOJ to target sovereign bond yield levels. The shift means the monetary authority would be obligated to absorb new government debt sales to stop borrowing costs rising, according to Mizuho Securities Co and Nordea Markets. The risks for investors, they say, include a rapid depreciation of the yen.