Japan's weak yen is causing concerns about its defense spending plans, with a 30% decrease due to the currency's impact. The country's 43 trillion yen defense buildup is at risk as the yen continues to weaken, potentially requiring tax increases to cover costs.
159.60 for the Japanese Yen now. You can't say I haven't warned you all..... https://t.co/h6mm419IGT
Will Japan drop the equivalent of another yearly defense budget now to get the #Yen back down for another few weeks? Must be close at these levels.
Japan's five-year, 43 trillion yen defense buildup risks being undermined by a weak yen. https://t.co/wGmYveqrJc
Japan's weak yen is raising questions about how far the defense spending will go, and what level of tax increases may be needed to pay for it.. via @NikkeiAsia https://t.co/vMsm3RWdAs
Japan defense spending plan takes 30% hit from weak yen https://t.co/JcbJBRM6dl
So Japan's 60 billion dollar intervention looks like it bought them about 6 weeks before a new low in the #yen gets set here. A reminder is that Japan's annual defense budget in dollars is well under 60 billion USD.