Free Newsletters - Space News - Defense Alert - Environment Report - Energy Monitor
. Earth Science News .




POLITICAL ECONOMY
Japan issues $87.8 bn in bonds to pay for stimulus
by Staff Writers
Tokyo (AFP) Jan 15, 2013


Japan on Tuesday approved an extra budget that includes issuing $87.8 billion more debt to help pay for a massive stimulus package aimed at breathing life into the world's third largest economy.

The 7.8 trillion yen bond sale is part of a wider $226.5 billion stimulus package, partly financed by local governments and the private sector.

It has stoked fears about spending by Tokyo, which already owes creditors cash equal to twice the size of its economy.

The debt-financing package announced Tuesday includes 2.6 trillion yen in bonds specifically to cover gaps in the national pension scheme. The rest of the debt will pay for the national government's share of the stimulus.

The total extra budget amounts to 13.1 trillion yen.

The new government led by Shinzo Abe, which swept to power last month, has pledged to fix the long-ailing economy with big spending and pressure on the central bank to launch aggressive easing measures.

Abe, who has tangled with Bank of Japan governor Masaaki Shirakawa on policy, said he wants the BoJ to set a two percent inflation target to drag Japan out of the deflation that has haunted its economy for years.

The yen has tumbled to multi-year lows against the dollar and euro while equity markets have soared on the speculation about monetary easing and hopes Abe's government will succeed where other administrations have failed.

"We're giving our top priority to such issues as the strong yen and ways to get out of deflation," Chief Cabinet Secretary Yoshihide Suga, the government's top spokesman, told reporters after the budget was approved.

"But in the process, we intend to always bear in mind fiscal discipline when we issue government bonds... fiscal discipline is extremely important."

With the latest bond offering, Tokyo will have sold about 52 trillion yen in debt to finance its spending in the fiscal year through March, well above a 44 trillion yen cap set by the ousted Democratic Party of Japan, according to Dow Jones Newswires.

On Friday Tokyo said the $226.5 billion stimulus plan was aimed at creating hundreds of thousands of jobs, rebuilding areas stricken by the 2011 quake-tsunami disaster and strengthening the military.

Economists have been divided, with some saying the stimulus was the right medicine for Japan's moribund economy, while detractors said it would have a short-lived impact and leave the country saddled with more debt.

.


Related Links
The Economy






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News





POLITICAL ECONOMY
China eyes hiking foreign investment quota for markets
Hong Kong (AFP) Jan 14, 2013
China could increase 10-fold the quota for foreign investors putting money into the country's stock markets, the head of its securities regulator said Monday. Foreign institutions - individuals are barred - can at present buy shares in the world's second-largest economy through two programmes, the main one being the Qualified Foreign Institutional Investors, or QFII, scheme. The progra ... read more


POLITICAL ECONOMY
Canada to resettle up to 5,000 Iranian, Iraqi refugees

China factory fire hidden by thick smog: media

Allianz sticks to profit goal despite Hurricane Sandy hit

Hannover Re hit by 261-million-euro loss from Sandy

POLITICAL ECONOMY
Molecular machine could hold key to more efficient manufacturing

Study reveals ordinary glass's extraordinary properties

Bottom-up approach provides first characterization of pyroelectric nanomaterials

Chemical modules that mimic predator-prey and other behaviors

POLITICAL ECONOMY
Wales, fishermen discuss protection zones

Living cells behave like fluid-filled sponges

Taiwan mulls shipping water from China as ties improve

Interagency Report Published on Information Required for Short-Term Water Management Decisions

POLITICAL ECONOMY
Antarctic lake reached after millennia

A new approach to assessing future sea level rise from ice sheets

A New Way to Study Permafrost Soil, Above and Below Ground

Bering Sea study finds prey density more important to predators than biomass

POLITICAL ECONOMY
Farmland Opportunity Includes 17,687 Great Plains Acres

Lady Beetle Diet Influences Its Effectiveness as Biocontrol Agent

Giant tobacco plants that stay young forever

Foods identified as 'whole grain' not always health

POLITICAL ECONOMY
Mozambique floods kill 2, destroy homes

Volcano lava flows worry Italian island

Faulty Behavior

Malawi floods kill three, displace thousands

POLITICAL ECONOMY
Hollande, in Gulf, defends France's Mali offensive

French marines in Mali wait for orders to join the fight

Mali Islamists flee bases, battered by French airstrikes

U.S. frets it'll get dragged into Mali war

POLITICAL ECONOMY
Eliminating useless information important to learning, making new memories

Tech world crawling into the crib

Promising compound restores memory loss and reverses symptoms of Alzheimer's

Dopamine-receptor gene variant linked to human longevity




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement