“The country’s outstanding public debt including borrowings reached a record 1,008.6 trillion yen as of June 30, the finance ministry said in Tokyo today. Larger than the economies of Germany, France and the U.K. combined, the amount includes 830.5 trillion yen in government bonds. The world’s heaviest debt burden will weigh on Abe when he decides next month whether to implement a two-step plan to double the tax on consumers in a nation with ballooning welfare costs. Moody’s Investors Service yesterday warned that a worsening of finances would erode confidence in government bonds.”
