Japan’s Abe: Needed to delay tax hike as couldn't run the risk of hurting spending

Headlines crossing the wires from Japanese PM Shinzo Abe as he makes a speech at a press conference following his decision to delay sales tax hike by 30 months until late 2019.

Key Quotes:

Downside risks for Japanese economy could lead back to deflation

We must take bold economic measures in Autumn

Will expand demand by raising basic income

I promised to create the environment to allow tax increase (here we go)

To take measures to support domestic demand

Have been able to raise wages by the most this century

Wages for part time workers have risen to record levels

Abenomics has been achieving results steadily

Biggest concern is developing economies including China

Most economic experts expect the world economy to worsen

Must act in a timely fashion to avert risk of crisis

Risk being faced is different to that of Lehman shock

On latest sales-tax hike postponement announcement:

Needed to delay tax hike as couldn't run the risk of hurting spending

Will delay hike by two and a half years

Will increase the speed of Abenomics over next two and a half years

It is true that I said I wouldn't postpone the tax again