Analyst: Japanese bond investors will focus on the dynamics of debt.

Sree Kochugovindan, an economist at Aberdeen, said in a report that Japanese government bond investors will need to be reassured that Japan's debt-to-GDP ratio remains within manageable levels. This senior research economist stated, "Fiscal discipline is crucial here with the food tax policy." The economist mentioned that comments from Finance Minister Koizumi indicate fiscal discipline and consideration for market sentiment on debt dynamics. The economist added that the debt-to-GDP ratio has been steadily decreasing since the pandemic, and Prime Minister Kojima's latest fiscal and economic plan will continue this trend of decline.