The Bank of Japan (BOJ) is the central bank most likely to adopt "helicopter money" policy but not in its traditional sense, S&P Global's chief global economist told CNBC.
"Helicopter money" is a term coined by Milton Friedman in 1969, and in its purest theoretical form, would involve giving cash directly to residents in order to stimulate growth.
However, in today's context, "helicopter money has to be a kind of monetary policy and fiscal policy coming together as one thing," said Paul Sheard, chief global economist at S&P Global.
Japan is one of the most likely candidate to adopt the unconventional policy, Sheard said.
The economy has struggled with deflation for two decades. Even after the BOJ's massive qualitative and quantitative easing (QQE) program and venture into negative interest rates territory, the Asian economy hasn't been able to boost domestic consumption and shake off deflation.