Japan PM Kishida instructs Cabinet to compile economic package

New Prime Minister Fumio Kishida on Friday instructed ministers in charge of economic and fiscal policies to come up with the specifics of an economic package he has pledged to implement to help Japan’s economy weather the COVID-19 pandemic.

Kishida reiterated his vision of realizing a “new capitalism” that focuses on economic growth and redistribution of wealth and said at a Cabinet meeting that he plans to submit to parliament a draft supplementary budget for fiscal 2021 to that end after the Oct. 31 House of Representatives election.

Japanese Prime Minister Fumio Kishida (front) arrives at his office in Tokyo after a magnitude-5.9 earthquake jolted the Tokyo region on Oct. 7, 2021. (Kyodo) ==Kyodo

Finance Minister Shunichi Suzuki vowed to work closely with the two ruling parties — the Liberal Democratic Party and its smaller ally Komeito — to create a “high-quality” budget.

“It is desirable to have the supplementary budget pass the Diet within this year,” Suzuki said.

The pillars of the package will include preventing the spread of the novel coronavirus through promotion of vaccinations and medications, and resuming social and economic activities by using vaccine certificates.

To bring about a “new capitalism” and achieve growth in the post-pandemic era, Kishida called for focusing the budget on four areas — science and technology, revitalization of regional economies, economic security, and child-rearing.

Kishida has already vowed to implement a stimulus package worth tens of trillions of yen to shore up the country’s economy and overcome the impact of the pandemic but has yet to elaborate on its specific content.

Prime Minister Fumio Kishida (C) attends a meeting with his Cabinet members at the prime minister’s office on Oct. 8, 2021. (Kyodo)

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