The annual EU-Japan High Level Meeting on Financial Issues was held in Tokyo on 2 February 2007. The meeting was co-chaired by Mr Regling, European Commission, Director-General of Directorate General for Economic and Financial Affairs, and Mr Watanabe, Vice Minister of Finance for International Affairs, for the Japanese side. Mr. Philippe Moutot, Deputy Director General, Economics Director, Monetary Policy, ECB, and Mr Hideaki Ono, Deputy Director-General, International Department, the Bank of Japan, also attended the meeting.
This meeting took place in a context of ever deeper and fruitful relationships between Japan and the EU; it confirmed that both parties continue to intensify their cooperation in the economic fields by sharing experiences and further deepening their mutual understanding. A broad exchange of views took place – in a constructive and productive spirit - on issues related to macroeconomic developments and policy responses in the EU and in Japan, as well as international topics of common interest.

The Japanese side highlighted that the Japanese economy has emerged from a long slump and is continuing to recover. The recovery is led by private sector demand, which is supported by high corporate profits, an improvement of the situation on the labour market and increasing confidence. The issue of fiscal consolidation was discussed as well. The EU described the continued positive economic situation, underpinned by an accommodative macroeconomic policy mix, robust private investment and consumption, wider profit margins, and a benign global environment. Monetary and fiscal policy issues were also discussed.

The discussion then focussed on the issues on current economic situation and regional economic cooperation in Asia. Economic policy developments in Eastern Europe were also described by the EU side.

source: Delegation of the European Commission to Japan