Fitch: Japan PM Kishida to announce a new stimulus package before Oct 31 general election

Japan’s new leadership is unlikely to shift the country’s policy approach, Fitch Ratings noted in its latest report.

The US-based ratings agency, however, said that they still expect the new Prime Minister Fumio Kishida to announce a new stimulus package before the general election, to be held on October 31.

Additional takeaways

“Expect new Japanese administration to maintain policy status quo more generally, including continuing digitalization drive.

“Japan's economy should benefit in the near term from an ebbing of threat from COVID-19 pandemic, regardless of the impact of policy reforms.”

“Does not anticipate significant shifts in government's support for Bank of Japan’s (BOJ) monetary policy strategy.”