| Kuroda warns Japan debt 'not sustainable' | Japan's central bank governor has told parliament that the government's vast and growing debt is "not sustainable," and that a loss of confidence in state finances could "have a very negative impact" on the entire economy.
The warning comes as Shinzo Abe's administration attempts to drag Japan out of more than a decade of deflation by means of aggressive monetary and fiscal stimulus.
In January, weeks after taking office, the government unveiled a Y10.3tn ($109bn) spending package while leaning on the Bank of Japan to buy more of its bonds – a strategy described by Morgan Stanley MUFG Securities as "print and spend."
http://link.ft.com/r/4RNQTT/GYN1BY/YHDR05/SP90VK/JQ857H/AZ/h?a1=2013&a2=3&a3=28
| | |
