Legg Mason's Shiozumi: Business winners will be those willing to play the 'New Japan'

Risk of Abe resigning

Japan's reform programme continues apace, with the latest inflation data for January showing Prime Minister Shinzo Abe's policies are finally helping the country to tackle deflation.

Although inflation was -0.1% in 2016, the outlook for 2017 looks more promising than it has in years. The Bank of Japan (BoJ) upgraded its assessment of the economy in December for the first time in 19 months, while the ratio of job openings to job seekers in 2016 rose to its highest level in 25 years, up for the seventh straight year.  The average jobless rate also fell to 3.1%, down for the sixth straight year and today sits at its lowest level in 22 years. Abe's plan from the start has been to steadily promote work-style reforms to rebuild employment and the social security syst...