Investor Presentaiton
Low probability of financial disequilibrium
Net savings by sectors in G3 economies
(as % of nominal GDP)
NOMURA
US
20.0
Private non-financial sectors
EZ
-JP
General government
EZ
JP
- US
16.0
12.0
8.0
4.0
0.0
-4.0
-8.0
-12.0
-16.0
-20.0
00
02
04
06
90
bay
08
10
12
14
16
18
20 (CY)
In the financial markets in 2021, a concern
emerged that a frontloaded tightening of
monetary policy and the resulting rise in interest
rates may hinder the reopening of economies.
However, we believe it unlikely that a significant
surge in rates will occur, as the private sectors
of major economies now have huge net
financial surpluses. Subdued spending as well
as policy driven fund transfer to household and
enterprises in the form of financial aid has
increased private sector net savings, which is
sometimes called 'forced savings'. This is the
main source of financial surplus.
Source: Nomura, based on US Fed, ECB, and BOJ data
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