Japan Considers Over 313 Trillion Won Fiscal Spending as COVID-19 Shock Response Measures

[Image source=AP Yonhap News]

[Asia Economy Reporter Kim Hyung-min] Kyodo News reported on the 7th that the Japanese government and ruling party are considering implementing fiscal spending exceeding 30 trillion yen (approximately 313 trillion won) to promote economic measures in response to the shock caused by the spread of COVID-19.

According to the report, the ruling party and government plan to use part of the carryover budget and surplus funds from the 2020 fiscal year (April 2020 to March 2021) to promote economic measures, and finance the remaining resources by issuing new government bonds.

The economic measures include household support and economic stimulus plans.

For example, a plan to provide 100,000 yen (approximately 1.04 million won) per child under 18 years old, the resumption of the domestic travel promotion policy "Go To Travel," and strengthened tax support for companies that raise wages.

The Japanese government is also expected to prepare measures to improve the treatment of workers in nursing care facilities, childcare workers, and nurses.

The economic measures are also reported to include the establishment of a fund to foster advanced technology and plans to expand funding for a "university fund" to promote scientific and technological development.

The economic measures are expected to be decided around the 19th.

After deciding on the economic measures, the Japanese government will proceed with drafting a supplementary budget for the 2021 fiscal year (April 2021 to March 2022) to support them.

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