Postelection rise of currency masks concern over side effects of fiscal expansion

Investors are concerned about the potential side effects of Japanese Prime Minister Sanae Takaichi’s expansionary fiscal policy. (Photo by Sae Kamae)
RYO SAEKI
February 14, 2026 07:04 JST
TOKYO — The yen has strengthened and Japanese government bond markets have been calm since the landslide election win by Prime Minister Sanae Takaichi’s Liberal Democratic Party. But this may not be the full picture.