* H1 operating loss Y250 bln vs Y400 bln yen forecast-Nikkei
* Nikkei figure close to consensus of Y258 bln loss
* Toyota shares down 1.4 pct, vs Nikkei 2.1 percent slide
* Toyota declines comment, to report H1 earnings on Nov. 5 (Adds dateline, consensus forecast, share reaction)
TOKYO, Oct 29 (Reuters) - Toyota Motor Corp will post a narrower-than-expected first half operating loss, helped by government incentives to boost car sales, the Nikkei business daily reported on Thursday.
The company, the world's largest automaker, is expected to post a consolidated operating loss of about 250 billion yen ($2.75 billion), an improvement from the previously projected 400 billion yen loss, Nikkei said.
Its results also have been boosted by a weaker-than-expected yen, the Nikkei said.
The Nikkei's figure is roughly in line with the market consensus for a loss of 258 billion yen, according to a poll of 4 analysts by Thomson Reuters I/B/E/S.
A Toyota spokeswoman declined to comment on the report. Toyota will announce first-half earnings on Nov. 5.
Shares of Toyota fell 1.4 percent to 3,550 yen in morning trade. The benchmark Nikkei average was down 2.1 percent.
First-half sales are estimated at 8.3 trillion yen, down 32 percent on the year but exceeding an earlier forecast by about 500 billion yen, said the Nikkei.
Sales of new vehicles have grown in China and other parts of Asia outside Japan. However, sales plunged 20-30 percent in North America and Europe, the paper added.
Toyota is likely to pay a first-half dividend of 35 yen a share, which is equal to its year-end payout for 2008/09. It paid an interim dividend of 65 yen the previous year, said the Nikkei. (Reporting by Divya Sharma in Bangalore and Nathan Layne in Tokyo; Editing by Edwina Gibbs)