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12 Aug 2013
Japan may delay sales tax hike after poor Q2 GDP, PM adviser Hamada says
FXstreet.com (Barcelona) - Key economic adviser to Mr. Abe, Yale University Professor Mr. Koichi Hamada has crossed the wires just minutes ago to underline its disappointment on the latest Japanese growth figures.
The policy maker, though to be one of the most influential figures to Japan's PM Mr. Abe, said there is no need to hurry with the sales tax hike after the weaker-than-expected Q2 GDP. Mr. Hamada, who has been supporting the idea of implementing an incremental approach to the sales tax increase, added that raising sales tax as planned might harm the economy. According to Mr. Hamada, one option might be to delay the tax hike by one year.
The policy maker, though to be one of the most influential figures to Japan's PM Mr. Abe, said there is no need to hurry with the sales tax hike after the weaker-than-expected Q2 GDP. Mr. Hamada, who has been supporting the idea of implementing an incremental approach to the sales tax increase, added that raising sales tax as planned might harm the economy. According to Mr. Hamada, one option might be to delay the tax hike by one year.