Kumamoto Earthquake Response and New FY2027 Budget Request Policy

On July 29, 2026, Prime Minister Takaichi attended a government and ruling parties policy consultation at the Prime Minister’s Office and discussed basic policies for FY2027 budget requests. This is the first budget to be formulated by the Takaichi Cabinet from the policy-setting stage.

The earthquake centered in the Kumamoto region of Kumamoto Prefecture caused confirmed extensive damage, including casualties, collapsed buildings, damaged roads, and fires.

The government will continue assisting people awaiting rescue on the ground and seek to ensure the safety of disaster victims and minimize damage through close coordination with local governments.

Under “responsible proactive fiscal policy,” the direction of budget formulation will be to achieve both a strong economy and fiscal sustainability.

Immediately after the earthquake, the Japanese government established an emergency response office at the Prime Minister’s Office and convened a meeting of the 2026 Kumamoto Earthquake Emergency Disaster Response Headquarters. While assessing the damage, the police, fire services, Japan Coast Guard, and Japan Self-Defense Forces are conducting life-saving and rescue operations on the ground.

The investment framework will have no request ceiling, enabling appropriate requests for the amounts needed, including itemized requests. During budget formulation, economic and price trends will be accurately reflected, permanent measures will be included in the initial budget, and reliance on supplementary budgets will be reduced.

In future formulation processes, the government will reassess the priorities of expenditure measures overall, including reviews of subsidies and funds, and boldly prioritize budget content. Requests limited to items will also be used as necessary.