TOKYO (AFX-ASIA) - Liberal Democratic Party policy chief Taro Aso said the government should take advantage of low market interest rates to issue more bonds, as well as boosting spending on public works projects to raise demand. "The government should spend more money on public works to make up for the shortage in domestic demand under the current deflationary circumstances," Aso said in a speech to business leaders. "It is an incorrect idea that increasing public works spending is bad, I believe. The government should take advantage of the current low-interest rates to issue more bonds to stimulate the economy," he said. "The current 1.3 pct long-term interest rate means that Japan has room to issue more bonds. "The present 660 trln yen balance of outstanding bonds is not so large compared with massive national credits. Japan's net debt is equivalent to major economies in Europe," he said. Aso also said the ruling LDP will submit a law that allows companies to broker access to fibre-optic networks aimed at opening up closed, or so-called dark-fibre, networks to outside users. "In Japan, so-called dark-fibre accounts for 92 pct of the total network. So we plan to offer capacity on these networks to outside firms," he said. Nippon Telegraph and Telephone Corp, along with Tokyo Electric Power and Japan's railway companies currently control large dark-fibre networks, preventing access to outside users, he added.