All
 

 

Just in:  

You are here: Home»World»Business & Economy»Japan reflation facing many hurdles: S&P

japan flag 400TOKYO: The Japanese economy is facing many hurdles as it struggles to reverse long-term deflation, according a report from ratings agency Standard & Poor's on Friday.

 

The Liberal Democratic Party took power this week on a campaign that pledged to inject new life into the limp economy, after it won a landslide election earlier this month.

 

S&P said the election raised hopes the world's third-largest economy may be able to escape the deflation that has haunted it for years, and recommended that policy makers "aggressively implement" measures to do so.

 

"It is positive that the Japan reflation issue is in play again and, with the change in government, Japan is likely entering a period of both policy and market action," said S&P's chief economist Paul Sheard.

 

"However, the hurdles to a policy-induced reflation are many, and they are high."

 

The report said past actions by the Bank of Japan were not enough and warned it was unlikely the bank would take the sweeping actions necessary to bring about reflation.

 

The report comes as data released Friday showed consumer prices in Japan slipped 0.1 percent on an annualised basis.

 

The nation's new leader, Shinzo Abe, has threatened to revise a law guaranteeing the BoJ's independence if it refuses to adopt a two percent inflation target -- part of his get-tough fix for the economy.

 

There has been tension between Abe and BoJ governor Masaaki Shirakawa on policy issues, with the new premier earlier saying he wants to replace the bank chief when his term ends in April.

 

Separate data released on Friday showed that Japanese factory output slowed 1.7 percent in November, with firms hurt by a strong yen, turmoil in the key European market and the global economic slowdown.

 

Copyright AFP (Agence France-Presse), 2012


 



 
Index Closing Chg%
Arrow DJIA 16,614.81 1.31
Arrow Nasdaq 4,419.48 2.40
Arrow S&P 1,941.28 1.96
Arrow FTSE 6,372.33 1.68
Arrow DAX 8,886.96 1.94
Arrow CAC-40 4,081.24 2.25
Arrow Nikkei 14,804.28 2.03
Arrow H.Seng 23,088.58 0.08
Arrow Sensex 26,575.65 0.55





where to buy

cheap wedding dresses

online - weddingdresstrend.com


Banking Review 2013


Buy new style hair wigs at cheap price on Ishowigs.com

Annual2013/14
Foreign Debt $61.805bn
Per Cap Income $1,386
GDP Growth 4.14%
Average CPI 8.6%
MonthlyAugust
Trade Balance $-2.807 bln
Exports $1.911 bln
Imports $4.718 bln
WeeklyOctober 20, 2014
Reserves $13.436 bln