Acceleration in the pace of fiscal austerity (decline in fiscal deficit)  4 3  5  250  ratio to nominal GDP, %  ratio to nominal GDP, %  140  4 240  130  3  2  2  1  1  0  0  230 120 220 110  -1  -1  -2  -2  -3  -3  210 100  200 Gross government debt (left scale)  Fiscal balance (y/y chg., left scale)  -4  Primary balance (y/y chg., left scale)  -5 -6 FY 08  -4  -6 10  11  12  Note: The primary balance is BOJ staff calculations.
BIS Review 77/1997  -4-  Better equilibrium in the balance of payments The salutary effects on the balance of payments of slower growth in total domestic expenditure are clearly reflected in the rapid decline in the deficit of the current account.