Japan’s $135B Stimulus Spurs Inflation Concerns Amid Crypto Market Watch
Prime Minister Sanae Takaichi's cabinet approved a ¥21.3 trillion ($135B) stimulus package, marking a 27% increase over last year's spending. The MOVE targets voter discontent over persistent inflation, now exceeding the BOJ's 2% target for 43 consecutive months—the longest streak since 1992.
The package allocates ¥11.7 trillion for direct price relief, including household energy subsidies and child support payments. "We've prioritized livelihoods and rapid inflation response," Takaichi stated, though economists warn the expanded spending could strain Japan's fiscal position and unsettle currency markets.
Digital asset markets showed muted reaction to the announcement, with major cryptocurrencies like BTC and ETH holding steady. Traders on exchanges including Binance and Bybit appear focused on upcoming U.S. CPI data rather than Japanese fiscal policy.
