The government’s target of a primary surplus by FY 2020 remains a priority to put gross public debt, which has risen to 230% of GDP, on a downward trend. Above all, achieving fiscal sustainability requires faster output growth through bold and wide-ranging structural reforms. To sustain confidence in Japan’s public finances, a detailed and concrete consolidation plan to achieve the FY 2020 primary surplus target is essential. The Bank of Japan's quantitative and qualitative easing (QQE) should continue until the 2% inflation target is sustainably achieved