BoJ hints at Japan's economic recovery

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Tuesday, 16th July 2013
In General Japan News,

BoJ hints at Japan's economic recovery

A statement issued by the Bank of Japan (BoJ) suggests that the country's economy may be on the way to recovery.

The BoJ was cautious in its wording, although it predicted that "Japan's ecomomy is expected to recover moderately on the back of the resilience in domestic demand and the pick-up in overseas economies".

The statement is significant as this is the first time in over two years that a note of optimism has been sounded about the country's economic recovery.

Following the bank's prediction of Japan's future, it is expected that so-called Abenomics - the financial policies introduced by Prime Minister Shinzo Abe - will stay in place.

A target of two per cent has been set for inflation and a programme of public investment is underway in a bid to reverse the country's ailing economy.

Support for Prime Minister Abe's party is clear as voter preference polls showed that people are backing the Liberal Democratic Party ahead of other groups in this Sunday's (July 21st) elections.

Written by Graham McPherson