Japan to declare coronavirus emergency, launch stimulus of almost US$1t: Abe
[TOKYO] Japan is to impose a state of emergency in Tokyo and six other prefectures as early as Tuesday to contain the coronavirus, while the government prepares a US$990 billion stimulus package to soften the economic blow.
Domestic infections topped 4,000, Jiji news reported, and 93 have died - not a huge outbreak compared with some global hot spots. But the numbers keep rising, with particular alarm over the spread in Tokyo, which has more than 1,000 cases including 83 new ones on Monday.
"Japan won't, and doesn't need, to take lockdown steps like those overseas," Prime Minister Shinzo Abe told reporters, citing the opinion of infectious disease experts. "Trains will be running and supermarkets will be open. The state of emergency will allow us to strengthen current steps to prevent an increase in infections while ensuring that economic activity is sustained as much as possible," he said.
An emergency, which Mr Abe said would last about a month, will give governors authority to call on people to stay at home and businesses to close. With no penalties for ignoring the requests in most cases, enforcement will rely more on peer pressure and respect for authority, and was unlikely to be as rigorous as lockdowns in many other countries.
In a sign that corporate Japan already was heeding the call, Canon announced it would close its Tokyo headquarters for 10 days starting from Tuesday.
Pressure had been mounting on the government to take the step although Mr Abe had voiced concern about being too hasty, given the restrictions on movement and businesses it would entail.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Mr Abe also said the government will launch a stimulus package of about 108 trillion yen(S$1.4 trillion), including more than 6 trillion yen for cash payouts to households and small businesses and 26 trillion yen to allow deferred social security and tax payments.
It was not immediately clear how much of that package would be new government spending.
An emergency appears to have public support. In a poll published on Monday by JNN, run by broadcaster TBS, 80 per cent of those surveyed said Abe should declare it while 12 per cent said it was not necessary. His approval rating fell by 5.7 points from last month to 43.2 per cent, the survey showed.
But Kenji Shibuya, director of the Institute for Public Health at King's College, London, said the emergency was too late given the explosive increase in cases in Tokyo.
"It should have been declared by April 1 at the latest," he said.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
Australian business strength is shocking even its biggest lender
South Korea’s factory activity shrinks in April, but optimism about outlook ticks up
US sanctions firms in China, UAE for support of Russia’s war
Japan suspects companies are evading disclosure of cross-shareholdings
Germany hit hard as foreign investment falls in Europe: EY survey
South Korea’s April inflation at 2.9% y/y, lower than expected