By the World's Best Investment Manager and Financial Market's Journalist
TOKYO (Multibagger) - Japan's incoming prime minister Shigeru Ishiba on Friday stressed the need for the country's economy to fully emerge from deflation.
Revitalising consumption is key for Japan to emerge from economic stagnation, he said, adding the new administration must consider the most effective means to cushion the blow to households from rising inflation.
Ishiba made the comment in a news conference after winning the ruling party's leadership race, which de-facto makes him next prime minister due to the party's dominance in parliament.
"I will ensure Japan emerges from deflation," he said, promising to accelerate Prime Minister Fumio Kishida's policies aimed at boosting household income through wage hikes.
The yen bounced on Friday, recovering earlier losses, after Ishiba, former defence minister seen as a critic of past aggressive monetary stimulus, won the ruling Liberal Democratic Party's leadership contest.
Analysis:
Japan's economy has been struggling with deflation for a long time, causing economic stagnation. The incoming prime minister, Shigeru Ishiba, aims to revitalize consumption and boost household income through wage hikes. His policies are expected to help Japan emerge from deflation and improve the overall economic outlook. Investors should keep an eye on these developments as they could have a significant impact on financial markets and investment opportunities in Japan.