Japanese government could 'run out of money' by October

• Bill to allow the government to sell bonds to fund the budget is languishing in parliament
• If it is not passed, government spending will grind to a halt
By Damien Gayle
Japan's government could run out of money by the end of October because a standoff in the country's parliament has blocked a bill to finance the budget deficit.In a crisis that echoes ones felt by other countries like the U.S. and Greece, all state spending - including salaries, pensions and unemployment benefits - could be halted if no solution is found.

A new bill to allow the government to sell bonds to fund almost half the budget has languished in parliament as the ruling Democratic Party tussles with an opposition-controlled upper house.Shinjuku, Tokyo: Japan's government could run out of money by the end of October because of a standoff in the country's parliament

If the bill is not passed, government spending would grind to a halt, the world's third-largest economy would be put in jeopardy and its standing among credit ratings agencies could suffer.'Without this bill, the budget will collapse,' Jun Azumi, Japan's finance minister, said earlier today, pleading for cooperation from the two largest opposition parties. (more)