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Japan may buy more European bonds, finance minister says

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While I've little doubt it would pay off later, we could use the money HERE now!

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Thus Japan, which up to now had a debt that was owned by its own people is now going to actively buy into the debt of other countries. While I'm very happy for Europe in this respect, I really wonder what the longterm benefits will be for Japan.

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Would not have to raise our taxes if keep money here in Japan

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So the government has already thrown away at least 2.68 billion euros of the Japanese taxpayers money without their permission and they want to throw away more. At this point of the game how does buying euro bonds benefit the Japanese? It's simply a transfer of wealth from the middle class to bail out the banks.

There was a money trader on the BBC this morning who was quite candid in saying the euro is finished and that the bailouts won't work. It seems the finance minister does not work for the Japanese people.

http://www.youtube.com/watch?v=aC19fEqR5bA

I see also that the insiders are pulling out of the stock market for the coming crash.

http://www.marketwatch.com/story/why-the-insiders-have-quit-buying-stocks-2011-09-21?dist=beforebell

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simple math, they sell bonds to the japanese with very low interest, and buy bonds from the europeans with much higher interest. Provided the europeans don't defaullt on those bonds, is definitely no brainer to the japanese government. I wonder why they call it helping the europeans though. It's purely and investment with potential high return they are making and nothing else.

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It is a waste to do this-a massive European default is coming

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like flipping a double sided coin

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Does Japan owns any 'rights' in the European Union after buying these so-called: Bonds? Actually I called them trash paper!

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Japan has no money now so I think the Chinese Indians and Russians do right?? Let them step Up to the so called plate.

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clearly just another shakedown (I believe the Japanese government is being "encouraged" a bit on this and this announcement after another example of Nobu's commitment for Japan not to "turn inward" as they clearly should (unless considering whatever the latest threats of international NWO goon banksters)

-2 ( +0 / -2 )

apologies... "Noda" not "Nobu" (late night typo)

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http://www.japantoday.com/category/politics/view/noda-says-japan-will-not-turn-inward-after-disaster

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This is a necessary action for many countries including Japan to take if we all want to avoid a collapse of Euro. If Euro collapses (2nd largest GDP all EURO combined), then we MAY well be heading to a severe depression that is similar to 1930 or may be worse as we are all interconnected financially.

In 2008 the US financial authorities that were needed to respond to the crisis were in place; at present in the eurozone one of these authorities, THE COMMON TREASURY, has yet to be brought into existence. This requires a political process involving a number of sovereign states which are not yet in agreement in many issues.. That is what has made the problem so severe. The critical mistake of Euro is that the political WILLl to create a common European treasury was absent in the first place.

The world is now trying to set up the common treasury for Euro in process. It is now beginning......

-1 ( +1 / -2 )

The critical mistake of Euro is that the political WILLl to create a common European treasury was absent in the first place.

Exactly! Euro was some kind of experiment which failed miserably. You can't have common currency without having political and economical unity. E.E seems to have a problem of identity. It attempted to copy/imitate the U.S.A in the worst possible way. They created a common currency without predicting the possibility of an economic crisis in the weaker member states. Big mistake which becomes even bigger when you have states that are unwilling to give their taxpayers money for a bailout.

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Let Europe take care of this mess themselves!

-2 ( +1 / -3 )

You can't have common currency without having political and economical unity.

That's one of the reason former PM of Britain Margaret Thutcher fought very hard to against EU common currency movement. If we go back and study the history of Europe, Germany and France always disagree on many issues..

Big mistake which becomes even bigger when you have states that are unwilling to give their taxpayers money for a bailout

The situation has been further aggravated by the recent decision of the German Constitutional Court. While the court found that the EFSF is constitutional, it PROHIBITED any future guarantees benefiting additional states without the prior approval of the budget committee of the Bundestag. This will greatly constrain the discretionary powers of the German government in confronting future crises.

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Let Europe take care of this mess themselves!

shanabelle, we cannot wait. It is ready to collapse by a brink of eye.

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@globalwatcher

This is a necessary action for many countries including Japan to take if we all want to avoid a collapse of Euro. If Euro collapses (2nd largest GDP all EURO combined), then we MAY well be heading to a severe depression that is similar to 1930 or may be worse as we are all interconnected financially.

It's not a necessary action. To the contrary there is nothing wrong with collapse of the Euro and European Union. Look at what's happening in Iceland. They're finally free of the banking cartel and its financial terrorism. The people of the world have been defrauded by these bankers to pay a debt we do not owe. The way out is to not pay, ie, default. Central banks should be owned by the people and loans should be issued interest free.

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Pretty soon they willl have DNA (debitor nations association), they will buy each others debts.

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@weedkila, okay so no pay... then what would happen to world economy?

What does it mean to Japanese/US financial institutions that are so exposed to Euro?

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@weedkila

Sorry, but you can not compare the default of Iceland's economy with the default of the Eurozone and its member states. The difference in the economic scale is enormous and the consequences of the latter will bring chaos to the economic stability of the planet.

Central banks should be owned by the people and loans should be issued interest free.

This economic theory is seriously outdated and it has been proved to be part of a utopianism.

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@Antonios,

You and I are on the same page. Iceland economy is very small compared to EU. As I have mentioned previously, a total GDP of EU is the 2nd largest when they are all combined. The financial catastrophe is much much bigger and severe than we anticipate. It is too big to fall off the cliff, in my opinion. Once it fails, then hell will break all over the world including Japan. Many, many more will end up jobless, homeless, foodless(hunger) in despaire.

EU MEMBERS ARE:

Austria · Belgium · Bulgaria · Cyprus · Czech Republic · Denmark · Estonia · Finland · France · Germany · Greece · Hungary · Ireland · Italy · Latvia · Lithuania · Luxembourg · Malta · Netherlands · Poland · Portugal · Romania · Slovakia · Slovenia · Spain · Sweden · United Kingdom

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@globalwatcher

As I said, look at Iceland. It's doing just fine. With a free market economy and without the shackles that the bankers have imposed on us the economy would bounce back in no time.

As for the too-big-to-fail financial institutions, let them fail. They gambled and lost and are part of the problem. Why should the taxpayer have to keep bailing them out?

@Antonios_M,

The difference in the economic scale is enormous and the consequences of the latter will bring chaos to the economic stability of the planet.

That's what the corporate media keep telling us; chaos and depression etc but isn't that what we basically already have? It's a fear based meme which works to the elites' advantage.

I admit that the difference between Europe defaulting and Iceland defaulting is enormous and there will be upheaval, no doubt about it, but what's the alternative? The system we currently have has already collapsed (in 2008). You can't just keep bailing out the banks, oppressing and stealing from the people to create a bigger monster. The plug has to be pulled at some stage. Why prolong it to the bankers advantage?

The depression of the '30s was made worse because the banks triggered and controlled the collapse. It was a huge transfer of wealth then as it is now. The difference this time is that they have the spotlight of the internet on them. Who wants to live under global tyranny because unfortunately that's what it's about; the centralisation of power and wealth and a push for global governance. That's the real reason they are so desperate to keep the EU together.

This economic theory is seriously outdated and it has been proved to be part of a utopianism.

You're probably right but my point was that it's better than what we have now. The only other real alternative I know of is the Austrian model (a REAL free market) which runs rings around what we have now and I hope it's what we end up with.

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Japan has 20% of the new Euro bonds the rest is owned by China and the Saudis.. they both own much of the US bonds also..

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Euro may have a future after all. This is what I have been informed today listed below. Hope we can turn a SHIP around going forward ti to the right direction..............

Greek leaders indicated they had the votes necessary to implement further austerity measures including a new property tax linked to electricity bills. Passing these measures is a key milestone to receiving further tranches of aid from Germany and for fixing the country's short term liquidity crunch. It also appeared likely that the German Bundestag would pass legislation that would help bolster the European Financial Stability Facility (EFSF).

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Japan may purchase more European rescue bonds if a proper system is put in place to bail out the continent’s debt-riddled economies, according to the finance minister.

They mad?! No one can't help to EU! That guys have bad game! They had been attack of Libya for low cost oil and gaz.

I hope that government of Japan don't forget that they must worry about Japan but not about EU bonds!

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In the pic, he seems to be introducing his shadowy friend!

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Even though, I can only support this move and thank Japan for making it, I still don't understand why Japan is going to do that.

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