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IPFS News Link • Japan

With Kuroda Under Pressure To Increase Stimulus Again, Dissenters Appear

• zerohedge.com

As the WSJ reports, Kuroda is under increasing pressure from the Prime Minister's advisers to coordinate efforts to jumpstart the economy. Earlier this month, we first reported of the secretive meeting between Kuroda and Bernanke, where the former Fed Chairman urged Japan to unleash helicopter money.

With what little credibility it still has, the Bank of Japan is set to meet this week and likely agree on the size of yet another stimulus package for the economy. Prime Minister Abe's main economic advisor Etsuro Honda recently detailed in an interview that the BOJ should increase its Qualitative and Quantitative Monetary Easing (QQE) program from ¥80 trillion to ¥90 trillion.

In addition, there has been growing speculation regarding coordinated fiscal and monetary stimulus. The fiscal stimulus efforts are not expected to be unveiled until August, according to the WSJ. Expectations point to a "multiyear program valued at ¥20 trillion ($188 billion), including direct spending, government loans and public-private financing."


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