Prime Minister Takaichi strongly denied claims that her policies have caused yen
weakness and elevated interest rates. She said the government aims to restore
confidence in the yen by strengthening the economy and ensuring fiscal
sustainability, and that JGB issuance will be properly managed in next fiscal
year’s budget. On her one-year anniversary the government is seeking to ease
market concerns about its fiscal management after an earlier policy blueprint
draft signaled a shift toward more expansionary measures; that draft coincided
with yen weakness versus the dollar and a rise in long-term bond yields.
