Japan's Kishida Orders Specific Stimulus Steps by End-October




  • In Business
  • 2022-09-30 02:25:06Z
  • By Bloomberg

(Bloomberg) -- Japanese Prime Minister Fumio Kishida instructed the government Friday to come up with an economic stimulus package by the end of October to help mitigate the impact of inflation and aid growth.

Most Read from Bloomberg

  • MacKenzie Scott Files for Divorce From Science Teacher Husband

  • Meta to Cut Headcount for First Time, Slash Budgets Across Teams

  • Stocks Plummet to 22-Month Low as Fed Hawks Circle: Markets Wrap

  • Trump Refuses to Delay Florida Deposition in Phone-Fraud Case Despite Hurricane

  • Top Apple Executive Is Leaving After Making Crude Remarks in TikTok Video

The order from Kishida came during the morning's cabinet meeting, chief spokesperson Hirokazu Matsuno told reporters Friday. The measures will tackle price rises and the weak yen, encourage structural pay increases, and promote investment and reform for growth, Matsuno said.

Earlier this month, Kishida extended existing price-relief measures including gas subsidies and caps on imported wheat prices as well as adding cash handouts for low-income households and local government grants.

Matsuno didn't clarify the size of the set of measures, leaving unclear how much the government will spend at a time when the economy is showing signs of a resilient recovery.

Read more: Japan's Economy Shows Signs of Resilience Amid Stimulus Talk

"There seems to be talk of spending 30 trillion yen ($207 billion) but I think in reality what's really needed is just 5 or 6 trillion," said Shinichiro Kobayashi, chief economist at Mitsubishi UFJ Research & Consulting. "Japan's economy isn't teetering on the brink of crisis so what we need now is economic measures to help those who are suffering."

The central government already put together a 2.7 trillion yen extra budget earlier this year to fund efforts to control the impact of inflation.

Kishida said Thursday energy and food price rises are hitting households, and fears of a global recession remain a risk for Japan's economy.

Most Read from Bloomberg Businessweek

  • The Unstoppable Dollar Is Wreaking Havoc Everywhere But America

  • Jay Powell Needs Investors to Lose Money

  • Twitter Is in This Mess Because Jack Dorsey Was Too Busy Being a Bitcoin Influencer

  • Google's Low-Tech Plan to Solve the Opioid Crisis

  • As Home Prices Surge, Americans Are Moving to Cheaper Places

©2022 Bloomberg L.P.

COMMENTS

More Related News

Blue Apron to Cut 10% of Jobs as It Struggles to Stay Afloat
Blue Apron to Cut 10% of Jobs as It Struggles to Stay Afloat

(Bloomberg) -- Meal-delivery company Blue Apron Holdings Inc. said it's cutting about 10% of its corporate workforce - part of a plan to drastically reduce...

European Natural Gas Prices Surge as Winter Blast Stokes Demand
European Natural Gas Prices Surge as Winter Blast Stokes Demand

(Bloomberg) -- European natural gas prices fluctuated as record imports of liquefied natural gas helped to offset a blast of winter weather that is testing...

Swedish House Prices Drop Again as Market Woes Deepen
Swedish House Prices Drop Again as Market Woes Deepen

(Bloomberg) -- Swedish property prices deepened their decline in November, offering no respite for home owners as higher interest rates weaken a market...

Ukraine Latest: Zelenskiy Warns of Prolonged Power Shutdowns
Ukraine Latest: Zelenskiy Warns of Prolonged Power Shutdowns

(Bloomberg) -- The European Union is set to boost the size of a fund to finance weapons for Ukraine by at least €2 billion ($2.1 billion) as early as next...

Indian Fintech Unicorn Sues Co-Founder Over Misusing Funds
Indian Fintech Unicorn Sues Co-Founder Over Misusing Funds
  • US
  • 2022-12-08 10:12:41Z

(Bloomberg) -- BharatPe, one of India's leading fintech firms, began legal proceedings against its co-founder and his wife for allegedly embezzling and...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

  • Smm Panel
    (2022-09-30 06:02:29Z)

    Hi! Thanks for the great information you have provided! You have touched on crucial points! smmworld

    REPLY

Top News: Business