Arab Today, arab today bonds to finance reconstruction in northeast
Last Updated : GMT 17:38:33
Arab Today, arab today
Arab Today, arab today

Bonds to finance reconstruction in northeast

Arab Today, arab today

Arab Today, arab today Bonds to finance reconstruction in northeast

Tokyo - Arabstoday

The Japanese government plans to issue ten trillion yen (Dh470.1 billion) in reconstruction bonds and cut spending by three trillion yen to pay for more projects to rebuild the country\'s devastated northeast, the Nikkei business daily reported yesterday. Investors are counting on reconstruction spending to help the world\'s third-largest economy pull out from a slump caused by a massive earthquake and tsunami in March and to resume moderate growth in the third quarter. A government source told Reuters last week it was planning additional spending of 13 trillion yen for reconstruction projects, on top of a combined six trillion yen already set aside in two extra budgets. The source had said the government was considering issuing special bonds, scaling back other spending plans and selling national assets. The Ministry of Finance was planning on five-year bonds, with the government considering raising taxes to repay them, according to the source. The Nikkei said about eight to nine trillion of the 13 trillion yen would be spent to improve infrastructure, while three trillion yen would go towards building schools and creating jobs. From / Gulf News

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