Japan eyes more stimulus as record budget clears parliament
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Loading... - Asuka Chiba
- 23 Mar 2022
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TOKYO: Japan stands ready to take further stimulus steps as economic and financial market uncertainty emerges over the Ukraine crisis, policymakers said on Tuesday (Mar 22), as parliament approved a record US$900 billion state budget for the next fiscal year.
The passage of the US$900 billion budget through parliament paved the way for Prime Minister Fumio Kishida's administration to seek yet another spending package to support households facing rising food and fuel bills.
"We will flexibly respond to the needs of further measures, while examining changes in the circumstances," Kishida told reporters.
The government has proposed providing cash payouts to low-income pensioners, while easing the pain of surging fuel prices through subsidies and tax incentives for consumers.
Finance Minister Shunichi Suzuki also said he would respond as appropriate if additional measures were needed, although he said he was not considering compiling an extra stimulus budget now.
"We need to consider compiling an extra budget as well as tapping emergency budget reserves depending on the situation," said Natsuo Yamaguchi, head of Kishida's coalition partner. The annual budget lacked steps to cope with rising prices, he said.
Even before the passage of the budget for the 12 months from Apr 1, Kishida has come under pressure from ruling and opposition lawmakers to compile a fresh stimulus. Read More...
