Japan Declares State of Emergency in 7 Areas Including Tokyo on 7th... Emergency Economic Measures Worth 108 Trillion Yen Announced (Comprehensive)

Japanese Prime Minister Shinzo Abe adjusts the mask he was wearing while attending the House of Councillors plenary session on the 3rd.
[Image source=AP Yonhap News]

[Asia Economy Reporter Lee Chun-hee] On the 6th, Japanese Prime Minister Shinzo Abe reportedly informed the ruling Liberal Democratic Party that he would begin preparations to issue a state of emergency declaration based on the "Special Measures Law for Countermeasures against Novel Coronavirus Infections (COVID-19)," according to Kyodo News.

It is known that the declaration could be made as early as the 7th, with the state of emergency taking effect from the 8th. The targeted areas include the Tokyo metropolitan area, Osaka region, and seven prefectures: Hyogo, Fukuoka, Chiba, Kanagawa, and Saitama. The period is until the 6th of next month.

Prime Minister Abe also announced an emergency economic measure amounting to 108 trillion yen (approximately 1,216 trillion KRW), equivalent to 20% of Japan's Gross Domestic Product (GDP). He later told reporters, "We will provide over 6 trillion yen in cash to households whose income has decreased."

Currently, the number of confirmed cases in Japan is increasing to a concerning level. As of 11:30 PM on the 5th, the cumulative number of confirmed cases was 4,570, an increase of 362 from the previous day. This includes confirmed cases from the Diamond Princess cruise ship. The death toll rose by 9 to 104.

The region with the steepest increase in confirmed cases is the capital, Tokyo. Following an increase of 117 cases on the 4th, 143 new cases were reported on the 5th, bringing the total to 1,033 confirmed cases. It appears that the rapid nationwide spread of infections in Japan has led to the judgment that it is having a significant impact on citizens' lives and the economy.

The Prime Minister, who is also the head of the Japanese government task force, is authorized under the law concerning infectious diseases such as COVID-19 to declare a state of emergency if the disease spreads rapidly nationwide and is likely to seriously affect the lives and economy of Japanese people. Once declared, authorities can restrict individual property rights, such as using land necessary for medical facility installations, which helps secure hospital beds. Additionally, prefectural governors can request people to refrain from going out and limit the use of public facilities based on legal grounds. However, even if a state of emergency is declared, going out cannot be forcibly prohibited, so a "city lockdown" is not possible.

If the Japanese government declares a state of emergency, the economic shock is expected to be significant. Some forecasts suggest the impact could be 1.5 times greater than the 2008 Lehman Brothers bankruptcy crisis. According to Mainichi Shimbun, Professor Emeritus Katsuhiko Miyamoto of Kansai University estimates that if a state of emergency is declared across the entire Japanese archipelago due to COVID-19, the economic loss over two years could reach approximately 63 trillion yen (about 717.381 trillion KRW). This estimate is based on the current GDP level.

This content was produced with the assistance of AI translation services.