Pravda.ru

News » World

IMF: Japanese debt to increase threefold

24.07.2015 | Source:

Pravda.Ru

 
IMF: Japanese debt to increase threefold. Japan
AP Photo

The International Monetary Fund has warned Japan of its debt increasing threefold by 2030.

In its annual assessment, the IMF experts noted that the third biggest economy of the world may face stagflation and turmoil in financial markets. They also called on the government to cut spending and limit extra budgets.

The Japanese public debt may reach 250% of GDP in the nearest five years. The risks may occur due to new structural reforms carried out by Shinzo Abe.

Such Japanese policies may trigger drastic stagnation and inflation as a result of weak domestic demand.

According to Fitch, Japan's increasing reliance on economic growth to cut its debt burden exposes the nation to greater risks. In April, the agency cut its rating on the country to the same level as Malta.

Also read: Why do large economies prefer not to repay their debt?

Pravda.Ru

Read article in Russian on the Russian version of Pravda.Ru

Read more on the subject here

 

 

Popular photos

Most popular

Russia Warns US-IS-IS, Again
Russia Warns US-IS-IS, Again
I can't even count the number of times the alarm has been sounded by the Russian Federation and its Foreign Minister, Mr. Sergey Lavrov, that US-Israeli support of, and participation in worldwide...
Another Step Toward Devastating War
Another Step Toward Devastating War
An idiot American pilot shot down a Syrian fighter that was attacking ISIS, thus confirming that Washington is not fighting ISIS, as Washington claims, but is protecting ISIS, its agent sent to Syria...
Рейтинг@Mail.ru Rambler_s_Top100_Service