.jpg)
2 hours ago
3
Article content
(Bloomberg) — The leader of one of Japan’s smaller opposition parties said that while a deficit in the primary balance is acceptable in the near term, the government should present a five-year road map toward achieving a surplus by around 2030 as interest rates are poised to rise.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
“While it is acceptable for the primary balance to remain in a deficit for the time being, it is necessary to present a roughly five-year path toward achieving a surplus around 2030 in a way that the bond market finds credible,” Yuichiro Tamaki, the leader of the Democratic Party for the People, said in an interview with Bloomberg on Friday.
Article content
Article content
Article content
He added that while broader monetary policy should move toward normalization, raising rates should be done carefully with a close eye on the impact of the war in Iran.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
The comments come as market expectations for a Bank of Japan rate hike on April 28 have receded due to high uncertainty surrounding the impact of the conflict in the Middle East. The government has released stockpiled oil and is seeking to diversify its oil sources in an attempt to counter the economic blow from tensions in the Hormuz Strait, but polls show a majority of people remain concerned over the impact.
Article content
Tamaki said he believed Japan should restart its nuclear reactors and build an energy supply chain that doesn’t rely as much on Middle Eastern oil, without giving specifics on what such an energy mix might look like.
Article content
Last year, Tamaki’s name was floated as a possible contender for the premiership before Prime Minister Sanae Takaichi sealed a deal with a separate opposition party to consolidate her power. The ruling bloc holds a comfortable majority in the lower house but is still short of a majority in the upper house, giving Tamaki some sway on issues such as constitutional revision.
Article content
—With assistance from Sakura Murakami.
Article content
Advertisement 1
English (US)