While acknowledging that the much-anticipated economic recovery has become more evident, Takashi Imai, chairman of the Japan Federation of Economic Organizations (Keidanren), is emphasizing that the government should continue its current stimulus-oriented fiscal and monetary policies for the foreseeable future to put the recovery on a firm, sure track.
"Until we see annual gross domestic product growth of 2 percent or higher, we cannot rest assured that the economy has been put on a self-sustained recovery track," the leader of the powerful business organization told The Japan Times in an interview.
Rather than hastily trying to rebuild its fiscal health, Imai said, the government should instead draw up a long-term plan for the national economy that would help people be more confident that the future is rosy — and thus spend more.