The rating agencies do not trust Japan. "Without a strong fiscal consolidation plan and credible by the Government of Japan notes will be threatened with demotion to the long term," he said Monday in Tokyo Andrew Colquhoun, director of public debt ratings for Asia-Pacific .
The warning is not innocent. It was made just hours before Prime Minister of Japan, Naoto Kan, announces an increase in the consumption tax, now one of the world's lowest, 5%, designed to rebalance country's finances, would not the day "before two or three years" paydayloans.
In the eyes of Fitch, Tokyo is obviously not fast enough, while the country's debt reaches 201% of its gross domestic product (GDP).
