Japan to provide US$25b stimulus to support regional economies: media
[TOKYO] Japan will spend over 3 trillion yen (US$25 billion) in a stimulus package aimed at reviving regional economies hit by slumping household spending after a sales tax hike in April, the Asahi newspaper said on Thursday.
Premier Shinzo Abe, given a fresh mandate to end 15 years of deflation after winning Sunday's election, had instructed his ministers in November to formulate steps to support the economy after it slipped into recession in the third quarter.
The package, to be finalised on Dec 27, will mainly consist of payouts to local governments that will be used to subsidise household purchases of fuel and other goods, the paper said.
The government will fund the package with extra tax revenues and money left over from last year's budget, instead of issuing fresh bonds, it said.
The focus on helping regional economies partly reflects Abe's intention of garnering votes in nationwide regional elections in April next year.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
When US diplomats visit China, meal choices are about more than taste buds
China’s first-quarter industrial profits rise at slower pace
Laid-back vibe, stunning beaches, rich cuisine and low cost of living lure more expat retirees to Malaysia
Vietnam tycoon appeals against US$27 billion fraud death sentence
US announces new restrictions on firearm exports
Central banks will probably only cut half as much as they hiked