Japan in the Capital Markets (April 2026)

High-yield Japanese corporate bond issuers are set to step up their offshore bond issuance plans in 2026 amid a push to diversify their funding sources. They are likely to see success in dollars and euros provided market conditions hold up, writes Rashmi Kumar

Japan’s sovereign, supranational and agency (SSA) borrowers continue to be among the most highly regarded issuers in global debt markets, supported by strong credit fundamentals and deep domestic demand. But with a complex geopolitical background, diverging global monetary policies, the Bank of Japan’s policy signals, and recent elections in the country, issuers are operating in an unpredictable environment.