On Friday’s Asia-Pacific market closure, Japan’s Nikkei tumbled as much as 2 per cent before paring some of its losses in the late-afternoon trading and Japanese Yen crawls back sharply following reveal of media headlines that the Japanese PM Shinzo Abe had been set to resign over the failure of so-called abeconomic policy in the pandemic-era.
Apart from that, an Associated Press report had quoted one of the sources as saying late on Thursday US trading hours that the world’s third-largest economy beside the Northwest Pacific might have been on the verge of a political chaos as the nation’s longest-serving President Shinzo Abe, who was sworn to take the office back in the 2012s, decided to resign.
Nonetheless, Japan’s public broadcaster NHK had reported earlier in the day that PM Abe’s decision to step down, who had long been battling the disease ulcerative colitis, was in part caused by his worsening clinical condition.
PM Abe sets to resign as pandemic resurgence pummels economy
In point of fact, media headlines revealing Abe’s resignation came forth at a time when the Japanese economy has been bending backwards amid a sharp blow stemmed off the pandemic outbreak, while Japan have been the hardest hit country among G20 nations with a second-quarter contraction of roughly 27 per cent on an unadjusted basis.
Meanwhile, citing that Abe’s resignation would likely to weaken the economy’s health further amid an uncontained pandemic outbreak at large, a Professor at Japanese Politics and Public Administration in the University of Tokyo, Izuru Makihara said following reveal of Abe’s decision to resign, “It’s problematic that Abe is quitting when his administration is struggling with handling the novel coronavirus pandemic.
Given Japan is in the midst of a global pandemic, it’s unlikely that whoever succeeds Abe can start putting out major policy changes. No one is expecting that from the next prime minister. ” While the report was being prepared at GMT 09.00, August 28, Japanese Yen has firmed 0.79 per cent against its American counterpart to 105.71, while Nikkei 225 ended the day 1.41 per cent lower to 22,882.65 after falling as much as 2.1 per cent during midday Asia-Pacific trading.