The human, physical and financial toll from Japan’s recent disasters is being assessed by various experts. Fixed income and credit analysts too are trying to calculate the likely costs and in their case, its effect on Japanese bond markets.
“It’s not obvious that the costs of reconstruction will affect the country’s credit rating. The impact of the earthquake and tsunami on industrial production should be much less than after the Kobe Great Hanshin earthquake in 1995,” said Bunt Ghosh, vice-chairman fixed income Asia-Pacific at Credit Suisse.
Early estimates by most analysts suggest that the cost should be less than the 10...