Japanese Economy Watching Rate Rises in the West
A rising interest rate in the West could have an effect on Japan's economy, its finance minister said on Tuesday. Higher bond yields could raise borrowing costs for Japan, with the heaviest public debt burden in the world.
Suzuki's remarks come at the time the parliament's powerful lower house is set to approve the country's record-breaking fiscal 2022/23 budget on Tuesday, setting the stage for the full approval of the budget in March.
Japan Government Bond (JGB) yields recently reached multi-year highs largely as a result of betting that the Bank of Japan (BOJ) will need to ease monetary stimulus as a result of the tightening campaigns being undertaken by the global central banks. As investors seek safe-haven assets due to the Ukraine tensions, yields have since declined somewhat.
22 Feb 2022