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Japan to repatriate more funds than expected: El-Erian


    NEW YORK (Reuters) - Japan will repatriate more funds than markets expect to finance its reconstruction efforts following a devastating earthquake and tsunami earlier this month, Mohamed El-Erian, the co-chief investment officer of PIMCO, said on Thursday.

    El-Erian, who helps oversee over $1.1 trillion in assets at PIMCO, also said Japan may be tempted to monetize its debt to a certain extent.

    He said the U.S. dollar, the euro and the yen all have "issues" right now, therefore he is going long the currencies of "successful" emerging markets and funding that trade with G3 currencies.

    "It's no longer about your cleanest shirt. It's about your cleanest dirty shirt," El-Erian told the Reuters Newsmaker event, referring to the G3 currencies,

    (Reporting by Jennifer Ablan and Walter Brandimarte; Editing by Theodore d'Afflisio)