The recent plunge in global crude oil prices is estimated to boost the Japanese economy by some 7 trillion yen annually, Economic and Fiscal Policy Minister Akira Amari said Friday.
“Oil prices are now less than half what they were at their peak. That stops money outflows and will likely benefit (the economy) by some 7 trillion yen. It is good for the Japanese economy,” Amari told a press conference, referring to calculations by the Cabinet Office based on various data.
Japan depends on imports for more than 90 percent of its energy needs.
Amari also said lower oil prices will likely benefit emerging economies as well but will deal a blow to oil-producing countries, adding that energy prices need to stabilize.
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