Japanese Prime Minister Sanae Takaichi has ruled out the possibility of issuing bonds to fund a two-year cut to Japan's consumption tax, stating that the government will seek to control the size of annual bond issuance. The prime minister emphasized that the government will appropriately manage spending and expenditure to reduce the debt ratio to GDP while seeking to stabilize the country's financial situation. Additionally, Takaichi highlighted the potential for the government to raise proceeds through bond issua…
Key points
Japanese Prime Minister Sanae Takaichi has ruled out the possibility of issuing bonds to…: Japanese Prime Minister Sanae Takaichi has ruled out the possibility of issuing bonds to fund a two-year cut to Japan's consumption tax, stating that the government will seek to control the size of annual bond issuance.
The prime minister emphasized that the government will appropriately manage spending and…: The prime minister emphasized that the government will appropriately manage spending and expenditure to reduce the debt ratio to GDP while seeking to stabilize the country's financial situation.
Additionally, Takaichi highlighted the potential for the government to raise proceeds thr…: Additionally, Takaichi highlighted the potential for the government to raise proceeds through bond issuance to fund the scheduled sales tax cut, but she did not rule out the possibility of issuing bonds altogether.
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TOKYO, Oct 19 : Japanese Prime Minister Sanae Takaichi said on Monday she would not rule out the chance of issuing bonds to fund a two-year cut to the country's consumption tax scheduled from April next year.
The government will seek to stably lower the ratio of debt balance to gross domestic product (GDP) by reviewing both spending and expenditure, Takaichi told parliament.
"As we do this, we will appropriately control the size of annual bond issuance," she said. "We would not rule out the chance of issuing bonds altogether," Takaichi said, highlighting how the government could raise proceeds to fund the scheduled sales tax cut.
Takaichi also said Japan can heighten market trust in the yen by pursuing steps to strengthen the economy.
The government has laid out a plan to cut an 8 per cent levy on food items from April next year, as part of efforts to cushion the blow to households from rising living costs.
France faced a significant setback in its financial markets on Monday, with bond and stock prices falling due to protests that erupted across the country. Over 2,400 people have been arrested in the aftermath of violent demonstrations, which have included looting and arson. The protests, which were sparked by concerns over school conditions and rising living costs, have caused investors to lose confidence in France’s government debt, leading to a rise in yields on its 10-year bonds.
China has announced that it will keep the benchmark lending rates unchanged for the 17th consecutive month. This decision follows a series of monetary policy measures aimed at maintaining stability in the Chinese economy. The central bank's decision reflects a cautious approach to managing inflation and ensuring financial stability.
The Reserve Bank of India (RBI) has hiked the repo rate, potentially leading to higher interest rates for borrowers. This could affect your monthly EMI, depending on your outstanding principal, remaining tenure, and existing interest rate. Consult with your lender for specific implications.