The government is going direct to households to finance March 11 disaster rebuilding, offering interest payments about a third lower than what it pays institutional investors.
Three-year reconstruction bonds for sale next month will pay a 0.18 percent rate, compared with 0.3 percent on reference five-year notes sold to banks. Investors will also get a letter of appreciation from Finance Minister Jun Azumi. Five-year debt in the U.S. has a 1 percent coupon.
The ministry has used Twitter and advertisements in taxis to pitch so-called retail Japanese government bonds, which are set for the biggest annual sale in three years. Rates higher than the 0.05 percent offered on standard bank accounts enticed buyers looking for safer investments as the Topix sank 20 percent this year. Japan boosted planned offerings of the securities, reducing its reliance on debt sold to banks.