Japan Cabinet Approves Economic Stimulus Package Worth $275 Billion [ Current Affairs - Economics ]

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Japanese cabinet approved $274 billion stimulus package for economy and increase the growth of world’s third largest economy. This decision taken by Prime Minister Shinzo Abe in Tokyo. Japanese cabinet chaired by Prime Minister Shinzo Abe.

Prime Minister of Japan Shinzo Abe

Prime Minister of Japan Shinzo Abe

showing image of Prime Minister of Japan Shinzo Abe

Features:

  • Its expects that this package will boost gross domestic product (GDP) by 1.3%.
  • The package aim is to handling deflation and strengthening the national economy.
  • For the current fiscal year more than half of package has been allocated.
  • Supplementary budget which will be considered by an extraordinary session of Parliament and starting in September.
  • This package will provide the support of small and medium-sized enterprises in Japan over the next two years.

Background details:

  • Japanese fiscal policy that is expected to lead to a substantial Desire depreciation through the deterioration in the balance of payments in the long-run.
  • As per the nominal GDP terms Japan’s economy is the third largest economy in the world.
  • US and chine economy are the first two country in the terms of nominal GDP in the world.

- Published on: August 4, 2016