joining us in sendai.et's bring in our guest host, joining us the chief economist at -- great to have you on the program this morning. as we look at what is going to happen in japan this week into next week, it'll be a big focus with these international gatherings. do you think we are increasingly going to focus on the fiscal side? will there be increased talk about what the fiscal side can do? or will we be back to talking about japanese intervention? >> we can't avoid talk about japan, although i think much of that talk is misplaced. this is almost an ever running story. the argumentys that somebody should change fiscal policy. there is not recognition as to what actually is happening. for instance, europe is often asked to do more the fiscal space. but europe is actually loosening its fiscal policy somewhat in the eurozone. i would be delighted if simply it was acknowledged that europe, after this, is now losing policy without being reckless. perez other countries, such as the u.s. and the u.k. probably

ahead of the summit g7 finance ministers and strald bank governors will gather in sendai northeastern japan starting on friday. finance minister aso there co-chair the meeting. he says they need to discuss ways to cooperate for global growth that take into account country's specific circumstances. >> translator: there are many uncertainties in the global economy. a major point of discussion for the g7 countries is how to tackle issues in a coordinated manner. the g7 should deepen debate on how to carry out monetary, structural and fiscal policies in a balanced way by reflecting the situation of each country. >> japan has been calling for g7 cooperation on fiscal spending to stabilize the world economy. oso said it won't be easy for germany as the country's fiscal policy is determined by constitution. he says it won't be easy for britain either as they face possible exit from the european union. >>> u.s. treasury department officials have spoken out and said competitive currency devaluation should be reconsidered. some have hinted at market interventi intervention. >>> treasury secreta

. >>> the financial officials from the group of 7 countries have kicked off their meeting in sendai. the part of the country ravaged by the 2011 earthquake and tsunami. what people will be paying most attention to is whether the group can take coordinated action to put the global economy back on track. >> reporter: this meeting and the upcoming g7 summit comes at a time still full of global economic uncertainty. the international monetary fund do down graded the outlook again. ministers and central bank governrnors will discuss a wide range of topics. they will first go over recent developments around the world and possible risisks they could pose. after that, expect them to t ta about inteternational text and t and anti-money-laundering measures. countries are once again being seen as major drivers of growth as china and other emerging markets lose steam. japan has been trying to persuade g7 members to introduce new fiscal stimulus, but we're already seeing differences surfacing. japan and the united states are on the same page. they believe effffectiveness wod boost the e economy f

the talks in sendai come ahead of the g 7 later this month. every monday we ask an expert to share their view. we hear from a senior economist. schultz is expecting positive gdp growth in japan for the last quarter. >> japanese economy was coming out of a negative growth late 2015, and is now regularlily growing a little bit stronger. however, i expect the first gdp growth is still around 0 percent for the overall number. annualized it will be 0.2%. very slow growth. but increase in positive growth because we have stronger numbers already for march for production, for wages. >> despite head winds from the stronger yen and the earthquake last month he expects slightly higher growth in the current april to june quarter. >> we should expect the economy is growing in the second quarter. so from april on about 1% of the additional growth. the reason is companies have basically been reducing their investment plans beforehand. they are now looking into household sector has become more optimistic on a little bit stronger wages. and the government is p

the two-day meeting begins on friday afternoon in sendai, northern japan. the hosts hope to play a leading role in discussions on a proposal for coordinated fiscal actions to prop up the global economy where uncertainties are growing. but not all g7 members are on board. germany and britain are cool to the idea of additional public spending. the finance chiefs are also expected to discuss ways of combating questionable tax avoidance and tax evasion. this is in reaction to disclosures over the panama papers. they also plan to exchange views on how to stop the flow of money to terrorism groups. >>> let's check on markets. in the u.s., stocks ended lower as crude oil prices retruded. the dow jones following for a third straight day which was its longest losing streak since february. as you can see, the dow falling 0.5% ending the day at 17,435. now let's see what's happening here in tokyo. we're going to go to ramin mellegard for that at the tokyo stock exchange. what are you seeing? >> very good morning to you, ai. now we have the possibility of a rate hike i

live in sendai japan. i've actually been there.is where the tsunami was and earthquake and very close to the nuclear disaster. >> japan or hong kong, which is your favorite? >> so difficult. i lived in hong kong so maybe that. but i love them both. >> cnbc.com a great picture of all the finance ministers in traditional japanese location, embracing the location. >> what is that the g7 meetings are all about. all about the photo ops. >>> taiwan naug rating its first female president, tsai ing-wen. . >>> another high profile person weighing in on brexit. canada prime minister justin trudeau wants the uk to remain in the eu. the comments after campaigners had argued canada was a potential model for britain if it left the union. betting odds today on the brexit issue indicating a 79% probability of britain voting to stay in the european union. this according to bet fair. the implied probability has increased about 9 percentage points in the past week. the pound also enjoying a decent week. it is off a bit today but as you can see at clo

you may remember just last week during the g-7 finance meeting in sendai, it just shows the frustrationese have when it comes to finding a consensus on policy, a global policy to revive growth. with any indication of that, we could be seeing more competing views. we did see an exchange between the u.s. as well as japan. jack lew was in favor of fx policy that japan has when it came to interbeing with the yen. on the other side, you have the u.k. and germany not supporting extra deficit spending. how is japan going to bridge this gap? here is the prime minister talking about what he expects. primus drop a: -- prime minister abe: the biggest theme will be to talk about the global economy. now it is time for the g-7 to deal with these situations, and i hope the summit will contribute a strong message that contributes to strong growth in the world economy. yvonne: and on top of the global economy, leaders will be talking about brexit, terrorism, tax evasion issues in light of the panama papers. and you cannot forget china when it comes to the impact of the slowdown in global recovery, as we

can, to the international and talk a bit about the meetings we are going to be having next week in sendai, japan. you know, it seems like every time we approach these meetings it's the right time for finance ministers around the world to be getting together. i think right now it is particularly so given the tremendous need to make sure that we all stay focused on growing global demand, using all the policy tools that we have to accomplish that and, equally, to refrain from the kinds of things that could be harmful to the global economy, things like exchange rate policies that are getting the world into a place where you go from market-determined exchange rates to competitive devaluation. we have strong agreement in shanghai where the g-20 countries agreed to refrain from competitive devaluation. it is very important that that be reiterated at the meeting we have with g-7 finance ministers. a number of important and timely issues, ranging from the vote in the united kingdom on brexit to resolution of the greek debt problems, terrorist financing, cyber security, and financial regulation. i

can, to the international, and talk a bit about the meetings we are going to be having next week in sendai, japan. you know, it seems like every time we approach these meetings it's the right time for finance ministers around the world to be getting together. i think right now it is particularly so given the tremendous need to make sure that we all stay focused on growing global demand, using all the policy tools that we have to accomplish that and, equally, to refrain from the kinds of things that could be harmful to the global economy, things like exchange rate policies that are getting the world into a place where you go from market-determined exchange rates to competitive devaluation. we have strong agreement in shanghai where the g-20 countries agreed to refrain from competitive devaluation. it is very important that that be reiterated at the meeting we have with g-7 finance ministers. a number of important and timely issues, ranging from the vote in the united kingdom on brexit to resolution of the greek debt problems, terrorist financing, cyber security, and financial regulation. i

g7 with a summit meetings are underway as finance ministers from -- and central bankers gather in sendaimorning, printing :00 spoke to pierre moscovici -- this morning, francine lacqua spoke to pierre moscovici. there: it is up to americans to decide. optimistic and willing to find a global solution by the 24th of may. that would be a great, great thisl that we are solving issue and we are maintaining the integrity of the eurozone. for brexit, i hope that the british voters will choose to remain because that is the only win/win solution for the u.k. and the eu. francine: you always comes up as a problem child in the world. we have seen a little bit of growth, but because of the referendums and lack of debt relief, we are pointed to, we can do more. change?l it pierre: i am not agreeing on that. -- the that the economy eu is in solid recovery. it could be even stronger. it could be faster. it could be even superior. but we are at a level nearby 2% growth a year as well as for this share and for next year. it is solid. we need to pursue reforms, social reforms, and keep a strong pace of fi