30 July, 2015 AsiaNews.it Twitter AsiaNews.it Facebook            

Help AsiaNews | About us | P.I.M.E. | | RssNewsletter | Mobile






mediazioni e arbitrati, risoluzione alternativa delle controversie e servizi di mediazione e arbitrato
e-mail this to a friend printable version


» 04/09/2009
JAPAN
Government to adopt 154 billion dollar stimulus package
Money is set to help companies and the unemployed and stimulate consumption. But experts warn it will just be a short-term reprieve that increases the tax burden in the future.

Tokyo (AsiaNews/Agencies) – Japan’s ruling Liberal Democratic Party released today the blueprint for a record US$ 154 billion stimulus plan, equivalent to 3.1 per cent of GDP. Prime Minister Aso had insisted on it and his government is scheduled to officially announce it tomorrow. It is not clear though where the money will come from but government sources say that it could be from new government, bench-mark 10-year bond yields worth 10-11 trillion yen. The plan is expected to include tax exemptions on home buying, a greater child-raising support allowance, help to jobless people, promotion for environmentally friendly products, measures in favour of solar panels and help for small companies in difficulty.

Japan is battling its deepest recession since Second World War with exports and domestic consumption plummeting and cuts in production and thousands of layoffs. Its economy shrank in fact 3.1 per cent in October-December from the previous quarter and is expected to have shrunk a further 2.5 per cent in January-March.

The government needs immediate results in light of upcoming elections. But analysts have warned that such a plan is likely to only have a short-term impact on personal spending without improving productivity. It will also not help the country rethink and reorganise its industrial model and economy.

“The contents [of the plan] look like temporary measures to front-load demand, but they do not pay attention to increasing productivity on the supply side,” economist Masamichi Adachi said.

Japan is the most debt-ridden industrialised country in the world and has already earmarked 33.3 trillion yen in new bonds for this fiscal year.

The stimulus plan also faces a potentially stormy ride through parliament, where the opposition controls the upper house and can stall legislation.

Mr Aso has threatened to bring forward an election due by October this year if the opposition stalls the package.


e-mail this to a friend printable version

See also
09/01/2011 JAPAN
Yoshihiko Noda's election to resolve a political and social crisis
by Pino Cazzaniga
09/29/2009 JAPAN
Prices and employment plunge as fear of deflation grows
08/28/2009 JAPAN
Tokyo-vote: towards a political earthquake
by Pino Cazzaniga
11/24/2008 CHINA
Beijing tries to stimulate domestic consumption, against unemployment and revolts
08/24/2011 JAPAN
Moody’s cuts Japan’s rating from Aa2 to Aa3

Editor's choices
ISRAEL - IRAN
After nuclear deal, Israel ought to become Iran’s best ally
by Uri AvneryThis is the thesis of Uri Avnery, leader of Gush Shalom, a major supporter of peace between Israelis and Palestinians. According to the great statesman and peace activist, Iran only wants to be a regional power in the Islamic world, able to trade with everyone, inspired by a sophisticated experience that goes back thousands of years. Iran, which faces backward-looking Gulf monarchies and emirates, could be a great ally against Daesh. Meanwhile in Israel Netanyahu, politicians and the media continue to blunder.
ASIA
PIME in China: new men in new facilities
by Piero GheddoThe mission in China is possible. It should focus more on educational facilities. Old and new martyrs offer a role model. Here is a commented review of a letter the PIME superior general sent out to his confreres after a trip to China.
EUROPE – ISLAM
For Nîmes imam, the Islamic State group kills Christians, but also threatens Islam in Europe
by Hocine Drouiche*Political Islam is becoming a "thuggish Islam," one that values ​​lying, hate, and enmity. Christians and the West are its enemies. However, Islam has had periods in which dialogue, reason, encounter, assimilation were held in high esteem. The belligerent Islam that fascinates so many young people is the result of myths and manipulations and causes Islamophobia. It is time to create and develop Europe’s own Islam, one that guarantees freedom of conscience and coexistence with Christians and Jews. Solving the Palestinian problem requires dialogue.

Dossier

Copyright © 2003 AsiaNews C.F. 00889190153 All rights reserved. Content on this site is made available for personal, non-commercial use only. You may not reproduce, republish, sell or otherwise distribute the content or any modified or altered versions of it without the express written permission of the editor. Photos on AsiaNews.it are largely taken from the internet and thus considered to be in the public domain. Anyone contrary to their publication need only contact the editorial office which will immediately proceed to remove the photos.