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Old 30-01-2016, 05:20 AM
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Thumbs up Abe is finished, no more tools to revive economy, now -ve interest rate!!!

An honorable member of the Coffee Shop Has Just Posted the Following:

The Bank of Japan on Friday adopted a negative interest rate policy to spur lending and help drive inflation towards its two-percent target.

The -0.1 per cent interest rate introduced by the BoJ means that banks parking their money with the central bank are actually charged for doing so.

By penalising the banks for hoarding their cash, the BoJ is giving them the incentive to loan the money out, thereby pumping more cash into the economy and, hopefully, boosting economic activity.

http://www.businesstimes.com.sg/gove...ource=Facebook


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