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Govt to use reserves flexibly to tackle price hikes: Kishida

Government will implement support measures for households in the fight against inflation. (Shutterstock)
Government will implement support measures for households in the fight against inflation. (Shutterstock)
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08 Jan 2023 09:01:31 GMT9
08 Jan 2023 09:01:31 GMT9

Tokyo: Japanese Prime Minister Fumio Kishida said Sunday the government will implement support measures for households in the fight against inflation by using discretionary reserves flexibly.

In a television program, Kishida, also president of the ruling Liberal Democratic Party, said, “Realizing wage increases powerful enough to counter price hikes will be a key to achieving a virtuous economic cycle.”

In response to successive resignations of cabinet ministers through late last year, Kishida told the program aired by public broadcaster NHK, or Japan Broadcasting Corp., “I once again became keenly aware of the importance of public trust in politics.”

“I’ll conduct politics with a sense of tension,” he said, expressing his resolve to work on rebuilding his administration.

Kishida said his government and party will make efforts to win public support in the unified local elections scheduled for April.

On the timing to dissolve the House of Representatives, the lower chamber of Japan’s parliament, for a snap election, the prime minister said, “We will first do what we have to do,” such as implementing security policies and taking measures to tackle the country’s declining birthrate.

He then said, “I hope to seek public judgment along the way, at an appropriate time.”

In the television program, other political party heads also appeared one after another.

Regarding the government’s plan to introduce strengthened measures to support families raising children, Natsuo Yamaguchi, leader of Komeito, the LDP’s junior coalition partner, said discussions about financial resources should not precede those about measures to be taken. At the same time, he said, “We need to discuss ways to secure a wide range of financial resources including insurances.”

Kenta Izumi, leader of the main opposition Constitutional Democratic Party of Japan, criticized the Kishida administration’s plan to boost defense spending substantially, saying that the move will be made based on the premise of raising tax.

There are many things the government should work on before raising tax, such as initiating “painful reforms” that will affect lawmakers themselves, Izumi said.

He also said Kishida appears to be thinking about dissolving the Lower House.

Izumi added that the CDP will accelerate preparations for a change of government and make efforts to win cooperation from other parties.

Nobuyuki Baba, leader of opposition Nippon Ishin no Kai (Japan Innovation Party), said his party will “build cooperative ties that will do good for the country and people,” showing readiness to cooperate with the CDP in the ordinary parliamentary session to be convened later this month.

Japanese Communist Party head Kazuo Shii opposed the idea of using the consumption tax to fund children-related measures.

Yuichiro Tamaki, chief of the opposition Democratic Party for the People, said his party is willing to actively cooperate with the ruling camp in fields that can affect the foundations of the country.

Tamaki also said he sees a good chance of the Lower House getting dissolved in the second half of this year.

JIJI Press

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