Japan finance minister Katayama:
JGBs are held predominantly by domestic investors so hard to foresee Japan defaulting on its debtHope BOJ guides monetary policy to sustainably and stably achieve 2% inflation targetAs prime minister has said, govt’s view is that Japan has yet to see inflation sustainably hit BOJ targetIf yen makes free fall, that will push up import costs and cause inflation unseen in the past but we will pursue ‘responsible’ fiscal policy to avoid this from happeningWe are not ruling out tax cut as a future option in fiscal policy
This article was written by Eamonn Sheridan at investinglive.com.