Japan: Worst crisis since war's end

Minister's comments come after 12.7% annual rate of decline in fourth-quarter GDP reported.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

How effective will the $787 billion stimulus plan be in reviving the economy?
  • It will help a lot
  • It will help, but more will be needed
  • It's not nearly enough
  • It costs too much

TOKYO (CNN)  -- Japan is grappling with its worst economic crisis since the end of World War II, the nation's economic and fiscal policy minister said Monday.

The comments from Kaoru Yosano followed news of Japan's gross domestic product falling at a 12.7% annual rate in the fourth quarter in 2008.

"This is the worst economic crisis in the post-war era," Yosano said at a press conference, according to Japan's Kyodo news agency.

The global economic crisis has pummeled Japan, which depends largely on its auto and electronics exports. The slump in exports has led to tens of thousands of layoffs across Japan.

"Behind (the contraction in GDP for) the October-December quarter is a terrific downturn in exports," he said, according to Kyodo.

"Like other major countries, our country cannot avoid the pains of structural change," Yosano said.

To stimulate the economy, the Japanese parliament needs to act quickly on key budget measures, he said, referring to bills related to a second supplementary budget for fiscal 2008 and early passage of the state budget for fiscal 2009.

Asked about Japan possibly producing a new economic stimulus plan in the short term, Yosano said wide-ranging discussions would be needed first.

"After seeing this level (of GDP), it is our duty to think of various policy options," he added. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
10 of the most luxurious airline amenity kits When it comes to in-flight pampering, the amenity kits offered by these 10 airlines are the ultimate in luxury More
7 startups that want to improve your mental health From a text therapy platform to apps that push you reminders to breathe, these self-care startups offer help on a daily basis or in times of need. More
5 radical technologies that will change how you get to work From Uber's flying cars to the Hyperloop, these are some of the neatest transportation concepts in the works today. More
Sponsors

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.