Japan pledged to take “bold and unprecedented” measures in order to combat the economic impact of the coronavirus, according to its economy minister. The statement has led many to believe the Japanese government would unveil a large-scale stimulus package in the future as a move to fight off a recession.
Any fiscal package would gain support by the Bank of Japan (BOJ) which is expected to ease policy next week in order to bolster business confidence in the country.
"We'll watch market moves with a stronger sense of urgency and act accordingly based on the G7 agreement," top currency diplomat said after a Friday meeting with the BOJ and the Financial Services Agency.
The statement came at the start of a G7 conference call, which established the group’s commitment to work together in fending off the virus' impact.