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28 October 2011

FT: Japan urges more action on euro crisis


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Yoshihiko Noda, Japan's new prime minister, has signalled his country will contribute to the eurozone's revamped bailout fund, but called on EU leaders to make “even greater efforts” to resolve their sovereign debt turmoil.


Mr Noda welcomed what he called the “comprehensive agreement” on bank refinancing and Greek debt restructuring reached by European leaders this week. But he made clear the world’s third-largest economy remained deeply concerned about possible contagion from the European crisis despite the deal, which analysts say left many important issues unresolved. “Now we would like even greater efforts from within the EU and eurozone to ease crisis worries by creating a stronger and more detailed approach”, Mr Noda said, adding that Japan and other nations needed to set out policies for economic growth and fiscal reconstruction.

Japan currently holds just over 20 per cent of the €10b billion in bonds issued by the EFSF, and Mr Noda, who was finance minister until becoming premier last month, signalled that Tokyo would continue to back the expanded fund.

Full article (FT subscription required)



© Financial Times


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