What the return of interest rates means for Japan

For households, wages finally on the rise, and a new investment scheme encouraging participation in the stock market, many are moving away from traditional cash savings and embracing equities and mutual funds. Japanese firms are experiencing a boost from the rising nominal GDP, leading to increased corporate profits. Though some businesses are exiting the market, this is seen as a necessary and healthy correction, particularly given the ongoing labor shortages. The financial sector stands to gain from higher interest rates and improved corporate governance Finally, the government is strategically...