Reuters — Exclusive: G20 to consider cutting debt to well below 90 percent/GDP: document

Learn to grow your own vegetables. Except the Europeans. It's all over for them.

The European Union itself, however, has a more ambitious debt ceiling of 60 percent of GDP for its 27 members and will suggest a lower target for the G20 would be better, too.

"Our experience with...the 60 percent of GDP reference value shows the importance of a more ambitious debt anchor. Such a debt anchor is needed with a consolidation path that is carefully calibrated to sustain the recovery," it said....

The European Union will warn the G20 next week that such Japanese policies are not without risks. 

"We welcome Japan's efforts to revive domestic growth. However, longer-term concerns remain as current economic policies risk increasing Japan's dependence on fiscal and monetary stimulus while bold structural reforms are needed to tackle underlying challenges," the document said.

"In view of its elevated gross public debt level, we support Japan's forthcoming fiscal consolidation measures, including the consumption tax hikes foreseen for 2014 and 2015," it said.

Incredible. Morons, all of them.

Reuters
Exclusive: G20 to consider cutting debt to well below 90 percent/GDP: document
Reporting By Jan Strupczewski; editing by Ron Askew

(h/t Kevin Fathi via email)