Rising Rates: Narrowing Window for Japan’s Fiscal Consolidation
The Japanese economy has rebounded from deflation, with inflation expectations now anchored at higher levels.
The Japanese economy has rebounded from deflation, with inflation expectations now anchored at higher levels.
In March, the Bank of Japan (BOJ) terminated its nearly decade-long unconventional monetary policy framework, characterized by massive asset purchases, negative interest rate, and yield curve control (YCC) policy.
The Japanese economy requires a robust upswing in wages to boost consumer spending and stimulate economic growth.