Arab Today, arab today japan government must keep economic promises
Last Updated : GMT 02:34:28
Arab Today, arab today
Arab Today, arab today

Japan government must keep economic promises

Arab Today, arab today

Arab Today, arab today Japan government must keep economic promises

Tokyo - AFP

Japan's new central bank chief said on Friday he expected the government to keep its end of the bargain in the bid to fix the country's flagging economy, after he unleashed a flood of easy money. Bank of Japan governor Haruhiko Kuroda said the central bank and the government had agreed that they share responsibility for reinvigorating the country's torpid economy, which included fiscal restructuring. "We strongly expect the government to move on that front," Kuroda told an economic symposium. "It is vital for the government to clearly show the future course of fiscal consolidation and steadily make progress to reform fiscal structures," he said. At his first central bank policy meeting as governor last week, Kuroda unveiled plans to speed up the printing presses, doubling the amount of money in circulation over the next two years. He said he would achieve this by boosting purchases of riskier assets such as exchange-traded funds (ETFs) and real-estate investment trusts, as well as vacuuming up longer-term government bonds. The bank pledged to meet a two percent inflation target within two years, a key aim of a government that is intent on reversing the years of falling prices that have cast a 15-year shadow on Japan's faltering economy. Almost immediately, the medicine kicked in, with yields on benchmark 10-year government bonds crashing, driving investors into equities on the hunt for a return on their money. But in recent trading sessions long-term interest rates, which were reasonably stable, have been volatile, with Kuroda admitting the BoJ's bulk purchases had disturbed the market equilibrium. "If such purchases by the Bank were regarded as monetising government debt, the JGB market might start to be destabilised, raising long-term interest rates in a manner inconsistent with the real economy," he said. This made it even more important for the government to get itself into better fiscal shape, he said. "This might not only offset the effects of monetary easing but also have negative effects on Japan's financial system and its economy as a whole," he said. Years of ineffective pump-priming by successive governments have left Japan with a mountain of debt around twice the size of its economy. Its ageing citizens are increasingly drawing down on their savings - much of which is tied up in government bonds - shrinking the pool of money the state can readily tap to fund the growing social security costs associated with that ageing. Kuroda said he would not limit his easing programme to two years if the economy still needed a boost after that time and if the two percent inflation target had not been hit by then. "It is not appropriate to say that the monetary easing will only last for two years," he said. "Obviously, there will be both upside and downside risks to economic activity and prices going forward. "The Bank will examine those risks carefully and will not hesitate to make adjustments as appropriate, should circumstances warrant," he said.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today japan government must keep economic promises Arab Today, arab today japan government must keep economic promises

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today japan government must keep economic promises Arab Today, arab today japan government must keep economic promises

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today Airbus CEO says won't cling to job

GMT 06:52 2017 Monday ,16 October

Airbus CEO says won't cling to job
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today 'Final phase' of battle for Raqa

GMT 03:47 2017 Monday ,16 October

'Final phase' of battle for Raqa
Arab Today, arab today Iran's Facebook shuts down

GMT 23:50 2017 Monday ,16 October

Iran's Facebook shuts down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today India to close colonial-era military farms

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Norway seeks 'Tesla tax' on electric cars

GMT 08:17 2017 Friday ,13 October

Norway seeks 'Tesla tax' on electric cars
Arab Today, arab today Safaa Sultan happy for “Love School”

GMT 10:55 2017 Thursday ,12 October

Safaa Sultan happy for “Love School”
Arab Today, arab today Conservation cutbacks put Brazil's

GMT 12:02 2017 Saturday ,14 October

Conservation cutbacks put Brazil's

GMT 10:19 2017 Wednesday ,11 October

Bosy reveals behind her participation in festival

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 10:20 2017 Thursday ,12 October

Chad extends key conservation area

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 12:25 2017 Saturday ,14 October

Squeeze on UK health gives advanced

GMT 07:16 2017 Friday ,13 October

Lufthansa to swallow lion's share

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday