Takaichi Announces Japan’s Growth and Financial Strategy

Prime Minister Takaichi said that, while the global economy faces high uncertainty, Japan must respond to economic conditions, draw out private investment, and strengthen its supply capacity and earning power.

Under the policy of making Japan strong and prosperous, she expressed the aim of implementing the growth strategy while achieving both growth of the Japanese economy and greater prosperity for the people.

If these policies advance, companies are expected to place greater emphasis on investment and resource allocation focused on enhancing corporate value over the medium to long term, contributing to economic growth and greater prosperity for the people.

Audit firms and certified public accountants will continue to be expected to ensure the reliability of information disclosure that supports the enhancement of corporate value at listed companies.

On July 21, the Takaichi Cabinet approved its first Japan growth strategy and simultaneously formulated the Financial Strategy for Promoting Growth Investment. Through public-private cooperation, it will promote growth investment in 17 strategic fields and other areas and create a virtuous cycle of funds.

The financial strategy positioned corporate governance reform as an important initiative for companies’ sustainable growth and the enhancement of corporate value over the medium to long term. The Corporate Governance Code was also finalized and published at the same time as the financial strategy, encouraging investment in human capital, investment in new businesses, and growth-oriented resource allocation.

The Prime Minister expressed respect for the efforts of the Japanese Institute of Certified Public Accountants to maintain and improve the quality of audit firm and certified public accountant services as a foundation for proper corporate activities, and requested cooperation in ensuring the reliability of information disclosure needed for reform.