TOKYO, April 9 (Reuters) – Bank of Japan Governor Kazuo Ueda said on Thursday real interest rates are clearly negative and keeping the country’s financial conditions accommodative.
“There is a possibility increased fiscal spending could crowd out private investment by pushing up market interest rates,” Ueda told parliament.
“But Japan’s short- and medium-term real interest rates are clearly negative. Such accommodative financial conditions are leading to a moderate uptrend in private capital expenditure,” he said.
(Reporting by Leika KiharaEditing by Shri Navaratnam)
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