Japan’s Abe: We’ll report to parliament how we spend $94B emergency fund at appropriate time

While speaking to parliament on Friday, Japanese Prime Minister (PM) Shinzo Abe said that he will account for the money spent on tacking the coronavirus impact on the economy to Diet, responding to the accusations from the opposition lawmakers.

Abe said: “We’ll report to parliament how we spend the money as needed and at the appropriate time.” 

This comes as the Japanese opposition party lawmakers branded the $94 billion emergency fund as Abe’s ‘pocket money’, as they are alarmed by its unprecedented size.

A Financial Ministry official noted: “It’s awful. It’s a huge blank cheque that would leave Japan with a bad precedent.” 

The proposed fund, part of Japan’s second $1.1 trillion economic stimulus package, is set to pass through parliament on Friday.

USD/JPY rebound capped below 107.00

USD/JPY erased losses and now trades neutral around 106.85, as the risk-off trading prevails in Asia on the dire global economic outlook and resurgent coronavirus fears.