Japan Enacts Bill Enabling Digital Issuance of Local Govt Bonds

Tokyo, May 27 (Jiji Press)–Japan’s parliament Wednesday enacted legislation featuring a measure to allow local governments to issue debt securities in digital format. At a plenary meeting, the House of Councillors, the upper chamber of the Diet, passed the legislation to revise multiple laws related to local autonomy, based on proposals from local governments. The issuance of digital local government securities will involve highly secure blockchain technology. The introduction of digital securities is aimed at diversifying the investor base and sources of local government fund procurement. The legislation also includes a law revision allowing prefectural governments to request electronic certificates of family registers from municipal governments online, including by email. The step is expected to reduce the administrative work burden on local governments as prefectural governments currently request and receive paper certificates by mail. END [Copyright The Jiji Press, Ltd.]