F inance ministers and central bankers from the Group of Seven top economies wrapped up two days of talks last month with the recognition that the global economy will continue to deteriorate this year, and urged governments to act in concert to stabilize their finance sectors and inject stimulus to boost demand.
The joint statement also urged all economies to avoid engaging in protectionism.
Japan has little room to take monetary steps because it has already lowered interest rates to nearly zero. Expectations for fiscal stimulus therefore lie with the government.