May 06, 2022 - 11:56 AM 240 views
ratings from the latest reports suggest that "the rising bond yields with
an anticipated monetary tightening policy will make it hard for Japan to
decrease its GDP ratio/public debt."
We do not
forecast a sharp increase in the country’s ultra-low interest rates, and
Japan’s debt structure should limit the medium-term risks of any debt worries.
By the end of the
March 2022 fiscal year (FY21), we forecasted that the general government
debt/GDP index would reach 248%, which is the top-notch of any investment grade
sovereign. Here, Italy ranks the second highest and is owed by 150%, which is
the major credit flaw of Japan.